e of dolls during December as follows: i Requirements ost of of end saction chre 1. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the FIFO inventory costing method. 2. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the LIFO inventory costing method. 3. Which method results in a higher cost of goods sold? 4. Which method results in a higher cost of ending merchandise inventory? 5. Which method results in a higher gross profit? Indis uantit Print Done More Info ost of ending t of ending me sactions have chronological or Indise inventory PI Cost of Dec. 1 Beginning merchandise inventory 8 Sale 14 Purchase 21 Sale 14 6 16 14 units @ $ 11 each units @ $ 18 each units @ $ 14 each units @ $ 18 each Quantity Print Done tinue to the next question. Question Help Assume that RK Toys store bought and sold a line of dots during December as follows Click the icon to view the transactions) RK Toys uses the perpetual inventory system Read the requirements Requirement 1. Compute the cost of goods sold cost of ending merchandise inventory and gross profit using the PFO inventory costing method Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method Enter the transactions in chronological order, calculating now o ry on hand balances after each transaction. Once all of the transactions have been bred the perpetrecord e r and cost of hand or purchased and on hand at the end of the period. (Enter the oldest inventory layers fest.) Read the requirements Requirement 1. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the FIFO invent Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method. the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest in Purchases Cost of Goods Sold Inventory on Hand Unit Total Unit Total Unit Total Date Quantity Cost Cost Quantity Cost Cost Quantity Cost Cost Dec Dec. 8 Dec 14 Dec 21 Totals Compute the gross profit using the using the FIFO inventory costing method. Gross profit is s using the FIFO inventory costing method Requirement 2. Compute the cost of goods sold cost of ending merchandise inventory, and gross profit using the LIFO inventory costing method Begin by computing the cost of goods sold and cost of ending merchandise inventory using the LIFO inventory costing method Enter the transactions in chronolog the quantity and total cost of merchandise Inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first) Purchases Cost of Goods Sold Inventory on Hand Unit Total Unit Total Unit Total Date Quantity Cost Cost Quantity Cost Cost Quantity Cost Cost Dec. 1 Dec 8 Dec. 14 Dec 21 Totals Compute the gross profit using the using the LIFO inventory costing method. Gross profit is using the LIFO inventory costing method Requirement 3. Which method results in a higher cost of goods sold? The method with the higher cost of goods sold is Requirement 4. Which method results in a higher cost of ending merchandise Inventory The method with the higher cost of ending merchandise Inventory is Requirements. Which method results in a higher gross prom The method with the higher gross proftis Enter any number in the edt helds and then continue to the next questo
