FIFO perpetual inventory Instructions FIFO Chart of Accounts Journal Final Questions Instructions X The beginning inventory at Midnight Supplies and data on purchases and sales for a three-month period ending March 31, are as follows: Date Total Transaction Number of Units Per Unit 1 Inventory 2,500 $70.00 Jan. $175,000 10 Purchase 8,000 78.00 624,000 28 Sale 3,800 140.00 532,000 30 Sale 1,250 140.00 175,000 Feb. 5 Sale 500 140.00 70,000 10 Purchase 17,000 80.00 1,360,000 16 Sale 9,100 145.00 1,319,500 28 Sale 8,700 145.00 1,261,500 Mar. 5 Purchase 14,300 81.60 1,166,880 14 Sale 9,800 145.00 1,421,000 25 Purchase 3,000 82.00 246,000 30 Sale 7,900 145.00 1,145,500 Instructions 1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory record similar to the one illustrated in Exhibit 3, using the first-in, first-out method. . 2. Determine the total sales and the total cost of merchandise sold for the period. Journalize the entries in the sales and cost of merchandise sold accounts. Assume that all sales were on account and date your journal entry March 31. Refer to the Chart of Accounts for exact wording of account titles. 3. Determine the gross profit from sales for the period. 4. Determine the ending inventory cost as of March 31. 5. Based upon the preceding data, would you expect the inventory using the last-in, first-out method to be higher or lower? Check My Alarla Previous Next FIFO 1. Record the invoilury, phases, and cost of merctraradise sad data in a perpetual inventory record sizlar to the one illustrated' Extbit3 using the first in, first-ou! method Date Purchases Cost of Merchandise Sold Inventory Quantity Unit Cout Total Cost Quantity Unit Cost Total Cost Quantity Unit Cost Total Cost Jan. 1 10 10 10 20 Fcb 5 10 16 16 Mar. 5 14 14 26 25 25 30 40 31 Biances Instructions FIFO Chart of Accounts Journal Final Questions Chart of Accounts General Ledger ASSETS REVENUE 110 Cash 410 Sales 111 Petty Cash 610 Interest Revenue 120 Accounts Receivable 131 Notes Receivable EXPENSES 132 Interest Receivable 510 Cost of Merchandise Sold 141 Merchandise Inventory 515 Credit Card Expense 145 Office Supplies 516 Cash Short and Over 146 Store Supplies 520 Salaries Expense 151 Prepaid Insurance 531 Advertising Expense 181 Land 532 Delivery Expense 191 Office Equipment 533 Insurance Expense 534 Office Supplies Expense 192 Accumulated Depreciation Office Equipment 193 Store Equipment 535 Rent Expense 194 Accumulated Depreciation-Store Equipment 536 Repairs Expense 537 Selling Expenses 538 Store Supplies Expense LIABILITIES 210 Accounts Payable 561 Depreciation Expense-Office Equipment 562 Depreciation Expense-Store Equipment 221 Notes Payable 222 Interest Payable 590 Miscellaneous Expense 231 Salaries Payable 710 Interest Expense 241 Sales Tax Payable EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary Journal 2. Determine the total sales and the total cost of merchandise sold for the period. Journalize the entries in the sales and cost of merchandise sold accounts. Assume that all sales were on account and date your journal entry March 31. Refer to the Chart of Accounts for exact wording of account titles. PAGE 10 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1 2 3 4 Final Questions 3. Determine the gross profit from sales for the period. $ 4. Determine the ending inventory cost as of March 31. $ 5. Based upon the preceding data, would you expect the inventory using the last-in, first-out method to be higher or lower? Higher O Lower