Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Calculate of sales using FIFO method Kinney Ltd specialises in homemade feijoa bottled juice, which enjoys great popularity in the local market. The company uses

Calculate of sales using FIFO method
Kinney Ltd specialises in homemade feijoa bottled juice, which enjoys great popularity in the local market. The company uses the perpetual inventory system for recording its cost of sales. The inventories and purchases for the month of December are as follows:
\table[[December,,Purchases,Sales],[,Quantity,Cost per unit,Quantity],[1,Beginning inventory,100 units,$1.00,],[3,Purchase,200 units,$1.30,],[7,Sales,,,220 units],[9,Purchase,200 units,$1.80,],[14,Sales,,,280 units],[18,Purchase,300 units,$2.00,],[21,Sales,,,200 units],[30,Purchase,100 units,$2.20,]]
During the month, units were sold for $3.50 per unit.
Required:
For the purpose of this question, please ignore GST. Show ALL your workings.
image text in transcribed

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_2

Step: 3

blur-text-image_3

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

Advanced Accounting

Authors: Floyd A. Beams, Joseph H. Anthony, Bruce Bettinghaus, Kenneth Smith

11th Edition

978-0132568968, 9780132568968

More Books

Students also viewed these Accounting questions