LONCI LOHIPILCU UI TUHUVITY JOHUGI PUICIOSES CHU SOICS LALO IUFTUS VIHY PIC Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase Totals Units Acquired at Cost Units sold at Retail 148 units @ $6.00 = $ 840 100 units @ $ 15 60 units @ $5.00 - 300 80 units @ $15 180 units @ $4.50 = 810 380 units $1,950 180 units The Company uses a perpetual inventory system. For specific identification, ending inver 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from Exercise 5-4 Perpetual: Income effects of inventory methods LO A1 Required: 1. Complete comparative income statements for the month of January for Laker Company for the expenses are $1,250 and that the applicable income tax rate is 40%. (Round your Intermediate LAKER COMPANY Income Statements For Month Ended January 31 Specific Weighted Identification Average FIFO LIFO hp a W work ! Required information 2. Which method yields the highest net income? O Weighted average OLIFO Specific identification O FIFO 3. Does net income using weighted average fall between that using FIFO and LIFO? O Yes O No 4. If costs were rising instead of falling, which method would yield the highest net income O FIFO OLIFO Saved Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below) Laker Company reported the following January purchases and sales data for its only pro Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase Totals Units Acquired at Cost Units sold at Retail 140 units @ $6.00 - $ 840 100 units @ $15 60 units @ $5.00 - 300 80 units @ $15 180 units @ $4.58 = 810 380 units $1,950 180 units The Company uses a perpetual inventory system. For specific identification, ending invent 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from Lercise 5-4 Perpetual: Income effects of inventory methods LO A1 quired: hp a ducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%25 Saved rk Required information L *MUSE LAKER COMPANY Income Statements For Month Ended January 31 Specific Weighted Identification Average FIFO LIFO 0 0 Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income 0 0 0 0 $ 0$ 0 $ 0 $ 0 2. Which method yields the highest net income? hp a W work ! Required information 2. Which method yields the highest net income? O Weighted average OLIFO Specific identification O FIFO 3. Does net income using weighted average fall between that using FIFO and LIFO? O Yes O No 4. If costs were rising instead of falling, which method would yield the highest net income O FIFO OLIFO Saved Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below) Laker Company reported the following January purchases and sales data for its only pro Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase Totals Units Acquired at Cost Units sold at Retail 140 units @ $6.00 - $ 840 100 units @ $15 60 units @ $5.00 - 300 80 units @ $15 180 units @ $4.58 = 810 380 units $1,950 180 units The Company uses a perpetual inventory system. For specific identification, ending invent 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from Lercise 5-4 Perpetual: Income effects of inventory methods LO A1 quired: hp a ducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%25 Saved rk Required information L *MUSE LAKER COMPANY Income Statements For Month Ended January 31 Specific Weighted Identification Average FIFO LIFO 0 0 Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income 0 0 0 0 $ 0$ 0 $ 0 $ 0 2. Which method yields the highest net income?
