Intermediate Accounting

1. Computational. ABC sells item A as part of its product line. Information as to balances on hand, purchases, and sales of item A are given in the following table for the first six months of 20X3. Date Purchased Sold Balance of Purchase January 1 (Inventory beginning) 3,000 units @ P250 Purchases January 24, 3,300 units @ P260 June 11, 2,140 units @ P280 Sales February 8, 4,800 units @ P350 March 16, 1,060 @ P350

Required: a. For the 6 months under weighted average cost (periodic) determine the gross profit (Sample answer: 254,360. Round off your answer to the nearest peso)

2. Computational. ABC sells item A as part of its product line. Information as to balances on hand, purchases, and sales of item A are given in the following table for the first six months of 20X3. Date Purchased Sold Balance of Purchase January 1 (Inventory beginning) 3,000 units @ P250 Purchases January 24, 3,300 units @ P260 June 11, 2,140 units @ P280 Sales February 8, 4,800 units @ P350 March 16, 1,060 @ P350 Required:

a. At the end of June 20x3, the unit cost of inventory under weighted average cost (perpetual) shall be (Sample answer: 125.65)

b. For the 6 months under weighted average cost (perpetual) determine the cost of goods sold