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Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold

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Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $40 per unit Feb. 10 Purchase 360 units @ $37 per unit Mar. 13 Purchase 150 units @ $25 per unit Mar. 15 Sales 765 units @ $50 per unit Aug. 21 Purchase 200 units @ $45 per unit Sept. 5 Purchase 580 units $42 per unit Sept. 10 Sales 780 units@ $80 per unit Totals 1,890 units 1,545 units Required: 1. Compute cost of goods available for sale and the number of units available for sale. Cost of goods available for sale Number of units available for sale units 2 Compute the number of units in ending inventory. Ending inventory units 3. Compute the cost assigned to ending inventory using (a) FIFO (6) LIFO. ( Weighted average, and (a specific identification. For specific identification, units sold consist of 600 units from beginning inventory, 260 from the February 10 purchase, 150 from the March 13 purchase, 150 from the August 21 purchase, and 385 from the September 5 purchase. Complete this question by entering your answers in the tabs below. Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using FIFO. (Round your average cost per unit to 2 decimal places.) Perpetual FIFO: Cost of Goods Sold Goods Purchased # of units unit Cost per Date # of units sold Cost per Cost of Goods Sold Cost per unit Inventory Balance # of units Inventory unit Balance $ 40.00 = $ 24,000.00 Jan 1 600 @ Feb 10 Mar 13 Mar 15 Aug 21 Sept 5 Sept 10 Totals Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using LIFO. (Round your average cost per unit to 2 decimal places.) Perpetual LIFO: Goods Purchased Cost of Goods Sold Inventory Balance # of # of units Cost per Inventory Date Cost of Goods Sold # of units units unit sold unit unit Balance Jan 1 600 @ $ 40.00 = $ 24,000.00 Cost per Cost per Feb 10 Mar 13 Mar 15 1 of 1 Next Mar 15 Aug 21 Sept 5 Sept 10 Totals Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using weighted average. (Round your average cost per unit to 2 decima Weighted Average Perpetual: Goods Purchased # of Date units unit Jan 1 Cost per # of units sold Cost of Goods Sold Cost per Cost of Goods Sold unit Cost per Inventory Balance # of units Inventory unit Balance 600 @ $ 40.00 = $ 24,000.00 Feb 10 Average Mar 13 Mar 15 Aug 21 Mar 15 Aug 21 Average Sept 5 Sept 10 Totals Cost per Cost per Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using specific identification. For specific identification, units sold consist of 600 units from beginning inventory, 260 from the February 10 purchase, 150 from the March 13 purchase, 150 from the August 21 purchase, and 385 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.) Specific Identification Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory Cost of Cost of Goods # of units # of units # of units Goods Cost per Ending in ending Available unit sold unit unit Sold Inventory for Sale inventory Beginning inventory 600 $ 40.00 $ 27,000 $ 40.00 Purchases Feb 10 360 $ 37.00 3.700 260 $ 37.00 16 800 100 $ 37.00 9,620 150 March 13 $ 25.00 $ 25.00 5.400 $ 45.00 Aug 21 $ 45.00 5.000 $ 42.00 23.000 580 S 4200 Sep 5 1.890 $ 77200 Total 200 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) FIFO LIFO Weighted Average Specific Identification Sales Less: Cost of goods sold Gross profit 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? Weighted Average O FIFO OLIFO O Specific Identification

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