completed these inventory transactions: (Click the icon to view the inventory transactions.) Requirements 1. The preceding data are taken from the store's perpetual inventory records. Which cost method does the store use? Explain how you arrived at your answer. 2. Determine the store's cost of goods sold for December. Also compute gross profit for December. 3. What is the cost of the store's December 31 inventory of water skis? for this difference? Requirement 1. Which cost method does the store use? Explain how you arrived at your answer. Waverly Sports uses rorks. Requirement 2. Determine the store's cost of goods sold for December. Also compute gross profit for December. The cost of goods sold is $ The gross profit for December is $ Requirement 3. What is the cost of the store's December 31 inventory of water skis? The cost of the company's inventory at December 31 is $ would it account for this difference? The company would report ending inventory at $ because the requires inventory to be reported in the financial statements at The gross profit for December is $ Requirement 3. What is the cost of the store's December 31 inventory of water skis? The cost of the company's inventory at December 31 is $ Requirement 4. Assume that ending inventory declined by $235. What value would the company report as inventory on the balance sheet? Include in your answer why it chose that value. How would it account for this difference? The company would report ending inventory at $ because the requires inventory to be reported in the financial statements at Account for this difference by preparing the necessary journal entry. (Record debits first, then credits. Explanations are not required.) Inventory Transactions completed these inventory transactions: (Click the icon to view the inventory transactions.) Requirements 1. The preceding data are taken from the store's perpetual inventory records. Which cost method does the store use? Explain how you arrived at your answer. 2. Determine the store's cost of goods sold for December. Also compute gross profit for December. 3. What is the cost of the store's December 31 inventory of water skis? for this difference? Requirement 1. Which cost method does the store use? Explain how you arrived at your answer. Waverly Sports uses rorks. Requirement 2. Determine the store's cost of goods sold for December. Also compute gross profit for December. The cost of goods sold is $ The gross profit for December is $ Requirement 3. What is the cost of the store's December 31 inventory of water skis? The cost of the company's inventory at December 31 is $ would it account for this difference? The company would report ending inventory at $ because the requires inventory to be reported in the financial statements at The gross profit for December is $ Requirement 3. What is the cost of the store's December 31 inventory of water skis? The cost of the company's inventory at December 31 is $ Requirement 4. Assume that ending inventory declined by $235. What value would the company report as inventory on the balance sheet? Include in your answer why it chose that value. How would it account for this difference? The company would report ending inventory at $ because the requires inventory to be reported in the financial statements at Account for this difference by preparing the necessary journal entry. (Record debits first, then credits. Explanations are not required.) Inventory Transactions
