Question
During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3: purchased goods for $3,600
During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows:
June 3: purchased goods for $3,600 from Diamond Inc. with terms of 2/15, n/60.
June 5: returned goods costing $750 to Diamond Inc. for credit on account.
June 6: Purchased goods from Club Corp. for $950 with terms 2/15, n/60
June 11: Paid the balance owed to DIamond Inc.
June 22: Paid Club Corp in full.
Required:
Assume that Ace uses a perpetual inventory system and that the company had no inventory on hand at the beginning of the month. Calculate the cost of inventory as of June 30. (Do not round intermediate calculations. Round you answer to 2 decimal places.)
Cost of Inventory:
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Managerial Accounting Information For Decisions
Authors: Thomas L. Albright , Robert W. Ingram, John S. Hill
4th Edition
0324222432, 978-0324222432
