Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Montoure Company uses a perpetual inventory system. It entered into the following calendar - year purchases and sales transactions. table [ [ Date ,

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions.
\table[[Date,Activities,Units Acquired at cost,Units Sold at Retail],[January 1,Beginning inventory,660 units $60 per unit,],[February 10,Purchase,330 units $57 per unit,],[March 13,Purchase,110 units $45 per unit,],[March 15,Sales,,715 units $70 per unit],[August 21,Purchase,160 units $65 per unit,],[September 5,Purchase,570 units $61 per unit,],[September 10,Sales,,730 units $70 per unit],[Totals,1,830 units,1,445 units]]
Required:
Compute cost of goods available for sale and the number of units available for sale.
\table[[Cost of goods avalable for sale,,],[Number of units available for sale,,units]]
Compute the number of units in ending inventory.
Ending inventory
units
Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. (For specific identification, units sold consist of 660 units from beginning inventory, 230 from the February 10 purchase, 110 from the March 13 purchase, 110 from the August 21 purchase, and 335 from the September 5 purchase.)
Complete this question by entering your answers in the tabs below.
\table[[Perpetual FIFO,Perpetual LIFO,\table[[Welghted],[Average]],\table[[Specific],[Identification]]]]
Compute the cost assigned to ending inventory using FIFO.
Note: Round your average cost per unit to 2 decimal places.
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

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

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

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

Intermediate Accounting Volume 1

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

17th Edition

1119613698, 978-1119613695

More Books

Students also viewed these Accounting questions