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I am stuck for ending inventory and weighted average. can you please show all steps Lunar Company uses a perpetual inventory system. The company's accounting
I am stuck for ending inventory and weighted average. can you please show all steps Lunar Company uses a perpetual inventory system. The company's accounting records provided the following information for Product 2: Units Unit Cost $10 4,400 8 Transactions 3. Inventory, December 31, 2019 For the year 2e2e: b. Purchase, April 11 C. Sale, May 1 ($28 each) d. Purchase, June 1 e. Sale, July 3 ($28 each) 1. Operating expenses (excluding income tax expense), $86,480 10,400 6,400 9,400 7,489 11 Required: 1. Prepare a statement of earnings for 2020, through pretax earnings, showing the detailed computation of cost of sales for two cases: a. Case A FIFO b. Case B-Weighted average (Round intermediate calculations to 2 decimal places.) LUNAR COMPANY Statement of Earnings (Partial) For the Year Ended December 31, 2p20 Case A Case B Welghted Average FIFO S 386,400 44,000 44,000 186,600 230,000 44,000 Sales revenue Coat of sales: Beginning inventory Purchases Cost of goods avalable for sale Ending inventory Cost of sales Gross profit Expenses Pretax camnings 230,000 44000 155,800 (44,000) 86,400 86.400 69,400 $ (130 400) $ Prev 1 of 4 FR Score answer > 2. Calculate the pretax earnings and the ending inventory amounts between the two cases. Comparison of Amounts Case A Case B FIFO Weighted Average Pretax eamings Difference Ending inventory Difference 3. Which inventory costing method may be preferred for income tax purposes? FIFO Weighted Average 4. Prepare journal entries to record transactions (b) through (e), assuming that all sales and purchase transactions are on account and that Scoresby uses FIFO for inventory costing. (If no entry is required for a transaction/event, select "No journal entry required in the first account field.) View transaction list View journal entry worksheet Debit NO Credit General Journal Transaction
I am stuck for ending inventory and weighted average. can you please show all steps
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