ANNEX D: FORMATIVE ASSESSMENT 1 (FA1) (36 marks) Question 2 You are employed as the cost accountant of Thabani Civil Engineers Pty Lid and your company trades in a single, homogeneous product. On 1 August 2022, there were 5 500 units with a selling price of R 4 each (after marking these goods up with 25% on cost) on hand. Your company uses the perpetual inventory system. The following transactions were carried out by your company during the month of August 2022: Date Transactions 4 Purchased 2 500 units at R 3.70 each 10 Sold 6 500 units at R 6.20 each 16 Purchased 1 300 units at R 3.80 each 20 Purchased 5 000 units at R 3.50 each 26 Sold 5 500 units at R 6.20 each 30 Purchased 2 000 units at R 3.85 each Required: Calculate each of the following using the FIFO method: 2.1 The value of the closing inventory on 31 August 2022 (25 marks) 2.2 The sales revenue for August 2022 ( 3 marks) 2.3 The cost of sales for August 2022 ( 6 marks) 2.4 The gross profit for August 2022 ( 2 marks) (Ignore VAT) EA1-CTM-V.3-25072022