Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

May you please do all 4 parts for me? Required information Exercise 6-5A Calculate inventory amounts when costs are declining (L06-3) (The following information applies

May you please do all 4 parts for me? image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Required information Exercise 6-5A Calculate inventory amounts when costs are declining (L06-3) (The following information applies to the questions displayed below.) During the year, Trombley Incorporated has the following inventory transactions. Number Unit Transaction of Units Cost Total cost Jan. 1 Beginning inventory 17 Mr. Purchase $19 $ 323 22 18 396 Jun. 9 Purchase 22 Nov.11 Purchase 15 93 $1,583 Date 12 459 27 405 For the entire year, the company sells 70 units of inventory for $27 each. Exercise 6-5A Part 1 Required: 1. Using FIFO, calculate ending inventory.cost of goods sold, sales revenue and gross profit. FIFO Cost of Goods Sold Ending Inventory Cost of Goods Available for Sale Cost of Cost per Goods of units unit Available for Sale $ 0 of units Cost per unit Cost of Goods Sold of units Cost Ending per unit Inventory $ $ 0 Beginning Inventory Purchases Mar 04 Jun 09 Nov 11 Total 0 0 0 $ $ $ 0 0 0 0 0 $ Sales revenue Gross profit Required information Exercise 6-5A Calculate inventory amounts when costs are declining (L06-3) {The following information applies to the questions displayed below) During the year, Trombley incorporated has the following inventory transactions. Number Unit Transaction of Units Cost Jan. 1 Beginning inventory Total Cost 17 $ 19 Mar. 4 Purchase $ 323 22 18 Jun. 9 Purchase 27 17 Nov.11 Purchase 27 15 405 93 $1,583 Date 396 459 For the entire year, the company sells 70 units of inventory for $27 each Exercise 6-5A Part 2 2. Using LIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit LIFO Cost of Goods Sold Ending Inventory Cost of Goods Available for Sale Cost of of units Cost per Goods unit Available for Sale 0 of units Cost per unit Cost of Goods Sold of units Cost Ending per unit Inventory Beginning Inventory Purchases: Mar 04 Jun 09 Nov 11 Total 0 0 0 0 Sales revenue Gross profit Required information Exercise 6-5A Calculate inventory amounts when costs are declining (L06-3) [The following information applies to the questions displayed below) During the year, Trombley Incorporated has the following inventory transactions, Number Date Unit Transaction DE Unita Jan. 1 Beginning inventory Cost Total Cost 17 $ 19 $ 323 Jun. 9 Purchase 22 18 396 17 Nov. 11 Purchase 27 15 93 $1,583 Mar. 4 Purchase 27 459 405 For the entire year, the company sells 70 units of inventory for $27 each. Exercise 6-5A Part 3 3. Using weighted average cost, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. (Round "Average Cost per unit" to 2 decimal places and all other answers to the nearest whole number.) Cost of Goods Available for Sale Cost of Goods Sold - Weighted Ending Inventory - Weighted Average Average Cost Cost Weighted Average Cost Average Cost of Goods Average # of units #of units of units Cost Average Available for Cost of Cost per Ending Cost per per unit in Ending Sale Sold Goods Sold Unit Inventory Inventory unit Beginning inventory 17 $ 323 Purchases: Mar 4 396 Jun 9 459 Nov 11 405 Total 93 $ 1,583 SININ Sales revenue Gross profit Required information Exercise 6-5A Calculate inventory amounts when costs are declining (L06-3) The following information applies to the questions displayed below.) During the year, Trombley Incorporated has the following inventory transactions Number of Units Date Transaction Jan. 1 Beginning inventory Mar. 4 Purchase Jun. 9 Purchase Nov.11 Purchase Unit Cost $ 19 17 22 27 27 93 18 17 15 Total Cost $ 323 396 459 405 $1,583 For the entire year, the company sells 70 units of inventory for $27 each. Exercise 6-5A Part 4 4. Which method will result in higher profitability when inventory costs are declining? Multiple Choice LIFO FIFO Weighted average

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Income Tax Fundamentals 2013

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

31st Edition

1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516

Students also viewed these Accounting questions