Boston Cycles started August with 12 bicycles that cost $42 each On August 16, Boston bought 40 bicycles at $68 each On August 31, Boston sold 29 bicycles for $90 each Requirements 1 Prepare Boston Cycle's perpetual inventory record assuming the company uses the weighted average inventory costing method 2 Journalize the August 16 purchase of merchandise inventory on account and the August 31 sale of merchandise inventory on account Requirement 1 Prepare Boston Cycle's perpetual inventory record assuming the company uses the weighted average inventory costing method Start by entering the beginning inventory balances Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of inventory purchased, sold, and on hand at the end of the period (Abbreviation used QTY Quantity Tot Total) Boston Cycles Purchases Cost of Goods Sold Inventory on Hand Date QTY Unit Cost Tot Cost QTY Unit Cost Tot Cost QTY Unit Cost Tot Cost Aug 1 Aug 16 Aug 31 Totals Requirement 2 Journalize the August 16 purchase of merchandise inventory on account and the August 31 sale of merchandise inventory on account (Record debits first, then credits Select the explanation on the last line of the journal entry table ) August 16 Purchased merchandise inventory on account Date Accounts and Explanation Debit Credit Aug 16 August 31 Sale of merchandise inventory on account Begin by preparing the entry to journalize the sale portion of the transaction Do not record the expense related to the sale We will do that in the following step (Assume that Boston sold the bicycles for $90 each ) Date Accounts and Explanation Debit Credit Aug 31 Now journalize the expense related to the August 31 sale Now journalize the expense related to the August 31 sale Review the perpetual inventory record you prepared in Requirement 1 Date Accounts and Explanation Debit Credit Aug 31

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Boston Cycles started August with 12 bicycles that cost $42 each  On August 16, Boston bought 40 bicycles at $68 each  On August 31, Boston sold 29 bicycles for $90 each  Requirements 1  Prepare Boston Cycle's perpetual inventory record assuming the company uses the weighted average inventory costing method  2  Journalize the August 16 purchase of merchandise inventory on account and the August 31 sale of merchandise inventory on account  Requirement 1  Prepare Boston Cycle's perpetual inventory record assuming the company uses the weighted average inventory costing method  Start by entering the beginning inventory balances  Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction  Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of inventory purchased, sold, and on hand at the end of the period  (Abbreviation used  QTY   Quantity  Tot    Total)     Boston Cycles Purchases Cost of Goods Sold Inventory on Hand Date QTY Unit Cost Tot  Cost QTY Unit Cost Tot  Cost QTY Unit Cost Tot  Cost  Aug  1 Aug  16 Aug  31 Totals Requirement 2  Journalize the August 16 purchase of merchandise inventory on account and the August 31 sale of merchandise inventory on account  (Record debits first, then credits  Select the explanation on the last line of the journal entry table ) August 16  Purchased merchandise inventory on account  Date Accounts and Explanation Debit Credit Aug  16 August 31  Sale of merchandise inventory on account  Begin by preparing the entry to journalize the sale portion of the transaction  Do not record the expense related to the sale  We will do that in the following step  (Assume that Boston sold the bicycles for $90 each ) Date Accounts and Explanation Debit Credit Aug  31 Now journalize the expense related to the August 31 sale  Now journalize the expense related to the August 31 sale  Review the perpetual inventory record you prepared in Requirement 1  Date Accounts and Explanation Debit Credit Aug  31

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Boston Cycles started August with 12 bicycles that cost $42 each. On August 16, Boston bought 40 bicycles at $68 each. On August 31, Boston

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