Chapter 5

Required information [The following information applies to the questions displayed below.) Hemming Company reported the following current-year purchases and sales for its only product. Units sold at Retail $ 3,575 Units Acquired at cost 275 units $13.00 - 450 units $18.00 - 230 units $43.00 8,100 Date January 1 January 10 March 14 March 15 July 30 October 5 October 26 400 units $43.00 Activities Beginning inventory Sales Purchase Sales Purchase Sales Purchase Total 475 units e $23.00 - 10,925 455 units $43.00 # $28.00 - 175 units 1,375 unita 4,900 $ 27,500 1,085 unita Ending inventory consists of 45 units from the March 14 purchase. 70 units from the July 30 purchase, and all 175 units from the October 26 purchase. Using the specific identification method, calculate the following *) Cont of Goods Sold using Specific Identification Available for Sale Date Activity Cost of Goods Sold of units Cost Per sold Unit COGS Ending Inventory Cost Per Unit Ending Inventory Cost w of units Ending Inventory Units Cost Per Unit 275 + January 1 March 14 Beginning Inventory Purchase 450 Ending inventory consists of 45 units from the March 14 purchase, 70 units from the July 30 purchase, and all 175 units from the October 26 purchase. Using the specific identification method, calculate the following a) Cost of Goods Sold using Specific Identification Available for Sale Cost of Goods Sold # of units Cost Per COGS sold Unit Ending Inventory Cost Per Unit Ending Inventory Cost Date Ending Inventory Units Activity Cost Por Unit of units 0 January 1 March 14 July 30 October 26 Beginning Inventory Purchase Purchase Purchase 275 450 475 175 1,375 b) Gross Margin using Specife Identification Less Equals