Jan. 1 Apr. 19 Weighted Average Cost Flow Method Under Perpetual Inventory System The following units of a particular item were available for sale during the calendar year: 4,000 units at $20 2,500 units 6,000 units at $24 4,500 units 1,000 units at $25 The firm uses the weighted average cost method with a perpetual inventory system. Determine the cost of goods sold for each sale and the inventory balance after each sale. Present the data in the form illustrated in Exhibit 5. Round unit cost to two decimal places, if necessary. Schedule of Cost of Goods Sold Weighted Average Cost Flow Method June 30 Sept. 2 Nov. 15 Inventory Sale Purchase Sale Purchase Purchases Cost of Goods Sold Date Quantity Unit Cost Total Cost Quantity Unit Cost Total Cost Jan. 1 Apr. 19 June 30 Sept. 2 Nov. 15 Dec. 31 Balances ethod Under Perpetual Inventory System ar item were available for sale during the calendar s at $20 is at $24 is at $25 age cost method with a perpetual inventory system. id for each sale and the inventory balance after each rm illustrated in Exhibit 5. Round unit cost to two Schedule of Cost of Goods Sold Weighted Average Cost Flow Method Cost of Goods Sold Total Cost Quantity Unit Cost Total Cost Inventory Unit Cost Quantity Total Cost M Te periodeng suite sude os tons Number Date Transaction of Unit Per Unit Total A3 very 3300 25.200 & Purchase 11 Sale 112 000 112.000 30 Sale 70 1.000 May Purchase 140 400 56.000 1.000.000 1.000.000 25 Purchase 1900 1.500 Sare Sale 4 1.050 1.200 16 Sele 1,090 127,400 1 Purchase 2012 2 Sale 126 1.05 132.300 Required: 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. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the cost of Goods Sold Unit Cost column and in the Inventory Unit Cost column. Dunne Co. Schedule of Cost of Goods Sold FIFO Method For the Three Months Ended June 30 Cast of Good Son Unit Cout Total Core Tetat Cost Purchase Date Quantity Quantity Case Ar Ara A 11 Ar. 30 May 10 May 19 May 28 unes June 16 21 une 2 De 30 Balance June 30 are as follows: ber Units 1 1.000 Per Unit Total 325.00 40,480 112.000 1,000 70.000 400.000 1.000.000 1.000 42.000 70 140 14 42 112 250 120 1,050 38.200 1.050 117.000 480 120.00 1,050 132.00 ory, purchases, and cost of merchandise sold data in a Jecord similar to the one illustrated in Exhibit 3, using the first- Under FIFO, if units are in inventory at two different costs, he LOWER unit cost first in the cost of Goods Sold Unit Cost entory Unit Cost column Dunne Co. Schedule of Cost of Goods Sold FIFO Method For the Three Months Ended June 30 Cost of Good Sold Purchase |Paar Cast Inventory Unit Cost Tow Cost Total Cost Quantity Total Cost Check My June 16 June 21 Iul June 28 June 30 Balances 2. Determine the total sales and the total cost of goods sold for the period. Journalize the entries in the sales and cost of goods sold accounts. Assume that all sales were on account. Record sale Record cost 3. Determine the gross profit from sales for the period. 4. Determine the ending inventory cost as of June 30. $ 5. Based upon the preceding data, would you expect the ending inventory using the last-in, first-out method to be higher or lower
