Buster's Sporting Goods provided the following information about the 2018 activity related to its inventory of SureGrip Baseballs Unit Cost $3.75 Selling Price Date Units Transaction 50 150 100 800 15-Mar 1,300 900 25-May 1,400 30-June 1,300 17-July 2,400 500 1-Oct 1,700 1-Jan 20-Jan 31-Jan 20-Feb Beginning Balance Purchase on account Sale on account Purchase on account Purchase on account Sale on account Purchase on account Purchase on account Sale on account Purchase on account Sale on account 4.00 8.00 4.50 4.65 31-Mar 10.00 4.75 4.80 12.00 20-Aug 5.00 12.50 Required: Note: Round all calculations to the nearest penny 1. Assume Buster's uses a perpetual inventory system and uses the average cost method for costing their inventory Prepare the journal entry necessary to record the January 20, 2018 purchase on account. Prepare the journal entry necessary to record the March 31, 2018 sale on account. Calculate Cost of Goods Sold for 2018 Calculate Ending Inventory at December 31, 2018 Calculate the Inventory Turnover Ratio for 2018. Explain what the inventory turnover ratio tells us about a given company Explain how the Inventory Turnover Ratio calculated in (e) would compare to Buster's Inventory Turnover Ratio had it used FIFO or LIFO a. b. c. d. e. f