Huge-Navy Surplus Ltd. began October 2020 with 71 tents that cost $24 each. During the month, Huge Navy Sur (Click the icon to view the purchases.) Huge-Navy Surplus sold 321 tents (151 tents on October 22 and 170 tents on October 30), and at October 31 the Requirements Requirement 1. Determine the cost of goods sold and ending inventory amounts for October under (a) weighted (Assume a perpetual inventory control system is used.) Weighted- Average Cost FIFO Ending inventory Cost of goods sold Requirement 2. Explain why cost of goods sold is highest under weighted average cost Be specific (Assume and (b) Weighted average cost results in the highest cost of goods sold because (a) the cost of tents is and that makes cost of goods sold the under weighted average cost Requirement 3. Prepare Huge-Navy Surplus's income statement for October 2020. Report gross profit. Operat the month Huge Navy Surplus made the following purchases at cost or 30), and at October 31 the ending inventory consists of 51 tonts. The sale price of each tent was 540 October under (a) weighted average cost and (b) FIFO cost Round weighted average cost per unit to four decat places and round of the amounts to the nearest cost. Be specific (Assume a perpetual inventory control system is used.) When costs are rising these latest inventory costs are the highest et of tents is and (b) weighted average cost includes the cost of the Roport gross profit Operating expenses totalled $1.750. Huge Navy Surplus uses the weighted average costing for inventory The income tax rate is 10% (Round income Huntyy Jirements urement z. cxpran wry COST OI GOUus SOIL IS Tghest under weigneu-avulage COSE DE SPUCI (Msume a perpetua mv mhted average cost results in the highest cost of goods sold because (a) the cost of tents is hat makes cost of goods sold the under weighted average cost. and (b) weighted average uirement 3. Prepare Huge-Navy Surplus's income statement for October 2020 Report gross profit. Operating expenses totalled xpense to the nearest whole dollar.) Huge-Navy Surplus Ltd. Income Statement For the Month Ended October 31, 2020 se from any list or enter any number in the input fields and then continue to the next question. Tyne here to seara O IA 99+ and (b) weighted average cost includes the cost of the i Purchases - X DS the we October 4 101 tents @ $ 26 = $ 2,626 19 11 28 160 tents @ 4,480 1,160 25 11 29 40 tents @ Print Done ents. The sale price of each tent was ge Cust. De specmc. TASSUmea perpetual inventory Comor System is useu.) COS i Requirements - X ed-a 20. 1. Determine the cost of goods sold and ending inventory amounts for October under (a) weighted average cost and (b) FIFO cost assuming the perpetual system is used. Round weighted average cost per unit to four decimal places, and round all other amounts to the nearest dollar. 2. Explain why cost of goods sold is highest under weighted average cost. Be specific 3. Prepare Huge-Navy Surplus's income statement for October 2020. Report gross profit. Operating expenses totalled $4,750. Huge-Navy Surplus uses the weighted average costing for inventory. The income tax rate is 40%. Print Done