CASE NO#1-FINANCIAL STATEMENTS Page 4 of 5 Target Corporation is an American retail corporation. It is a general merchandise retailer with stores in all 50 U.S. states and the District of Columbia. 75% of the U.S. population lives within 10 miles of a Target store. The tagline of the company is "Expect More. Pay Less." The Corporation provides an adjusted Trial Balance as of December 31, 2021 which is given below: Principles of Accounting 2/Assignment Details Debit Debit OMR OMR Cash 34.400 Equipment 75,900 Accumulated depreciation-store equipment 22,000 Office equipment 60.000 Accumulated depreciation office equipment 15,000 Accounts payable 35.000 Sales refund payable 7,000 Notes payable 2,200 Common stock 31,000 Retained earnings inologu 109,700 Dividends olied Sciences 48,000 Sales 335,000 Sales discounts 8,000 Sales returns and allowances 15,500 Selling expenses 33,500 General and administrative expenses 19,800 Interest expense 800 Merchandise Inventory opening Purchases 20,000 240,000 Purchase discounts 25,000 Purchase returns and allowances. Transportation in 15,000 5,000 BASC2101/BAAC2100 Fall/2022-25 Page 5 of 5 Closing Merchandising Inventory of the Corporation is OMR 29,000. You are required to prepare the following financial statements from the above information as on 31 December 2021: i) A Statement of Cost of Goods Sold ii) A Multiple-Step Income Statement iv) You are required to draft a report on the Financial Performance of the business. CASE NO#2- INVENTORY VALUATION METHODS TESCO is a British multinational groceries and general merchandise retailer with headquarters in Welwyn Garden City, Hertfordshire, England, United Kingdom. It is the third-largest retailer in the world measured by gross revenues. has shops in seven countries across Asia and Europe. It is the market leader of groceries in the UK, Ireland, Hungary, and Thailand. It provides the following purchases and sales of Merchandise Inventory for the month of June 2022: Date Details June 2 Purchases Units Unit Price OMR 600 20 12,000 June 5 June 9 June 15 Purchases 400 30 12,000 Purchases 200 34 6,800 Purchases 600 40 24,000 June 22 Purchases Sty 1,000 25 25,000 Total Purchases and Appl 2,800 79,800 Date Details Units Unit Price OMR June 7 Sales 600 60 36,000 June 17 Sales 500 80 40,000 June 25 Sales 200 45 Total Sales 1,300 9,000 85,000 Company follows Periodic Inventory System. All purchases and sales are on credit basis. You are required to: a) Compute the cost of goods sold and closing inventory value under FIFO and Weighted Average Method. b) Identify necessary journal entries for the above purchase and sales of Merchandise Inventory under FIFO and Weighted Average method