Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bonus-Ch 5B Inventory Cost Flow 6 Swed 1 The Shirt Shop had the following transactions for T shirts for Year 1, its first year of

image text in transcribed
image text in transcribed
image text in transcribed
Bonus-Ch 5B Inventory Cost Flow 6 Swed 1 The Shirt Shop had the following transactions for T shirts for Year 1, its first year of operations 5 points Jan 20 Purchased Apr 21 Purchased July 25 Purchased Sept. 19 Purchased 400 units 200 units 200 units 50 units $8.33,200 $10 = 2,000 $133,648 $151,350 eBook During the year. The Shirt Shop sold 810 T-shirts for $20 each. Required o. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) UFO, and weighted average b. Compute the difference in gross margin between the Fifo and LIFO cost flow assumptions Complete this question by entering your answers in the tabs below. Required Weed Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, asuming the following cost How assumptions: (1) FIFO, (2) UFO, and (3) weighted average (Round intermediate calculations to 2 decimal places and final answers to nearest whole dollar amount.) FIFO LIFO Weighted Average Ending inventory MC 1 Jan. 20 Apr. 21 July 25 Sept. 19 Purchased Purchased Purchased Purchased 400 units 200 units 280 units 90 units 5.8 $3,200 $10 2,000 $13 515 1,350 3,640 5 points BOOK During the year, The Shirt Shop sold 810 T shirts for $20 each Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions() FIFO (2) LIFO and (3) weighted average. b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions: ril Print References Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumption (1) FIFO, (2) UFO, and (3) weighted average (round intermediate calculations to 2 decimal places and final answers to nearest whole dollar amount) FIFO LIFO Weighted Average Ending inventory CHA Required > 1 Jan. 20 Apr. 21 July 25 Sept. 19 Purchased Purchased Purchased Purchased 400 units 200 units 280 units 90 units $8 - $3,200 $10 2,000 $13 3,640 $15 1,350 5 points eBook During the year, The Shirt Shop sold 810 T-shirts for $20 each Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following assumptions: (1) FIFO. (2) LIFO, and (3) weighted average b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. Hint Print References Complete this question by entering your answers in the tabs below. Required A Required B Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions FIFO LIFO Difference Gross margin Required A Feue

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Walter Harrison, Wendy Tietz, C. Thomas, Greg Berberich, Catherine Seguin

7th Canadian Edition

0135433061, 9780135433065

More Books

Students also viewed these Accounting questions

Question

discuss what an intervention is in relation to work psychology;

Answered: 1 week ago