n ACCTG 331, Intermediate Accounting Simulations #3: Inventory Ch 8 and 9 30 points USE EXCEL SPREADSHEET FOR ALL OF YOUR WORK #1--Perpetual Inventory Method - Journal Entries Required: Prepare journal entries for each of the following transactions under the Perpetual Inventory method include recording date and all required expense and balance sheet accounts. The Widget Company sells only one product (widgets) and uses FIFO. December 31, 2019 inventory is as follows: Date purchased December 5, 2019 December 20, 2019 December 28, 2019 Quantity 1.500 700 500 Unit cost $5.34 $5.48 $5.40 1. January 2, 2020: Received 1,000 widgets with a unit cost of $6.00. The units were shipped from the supplier on December 29, 2019 FOB shipping point. The widgets were not included in the December 31, 2019 inventory. Payment terms are 2/10.net 30. The company uses the Net Method for recording payment discounts. 2. January 5, 2020: Sold 3,000 widgets for $11.00 each and shipped FOB shipping point. Payment terms are 1/10 net 30. The company uses the Gross Method for recording sales discounts. 3. January 6, 2020: Paid in full for the 1,000 widgets received on January 2 2020. 4. January 10, 2020: Customer returned 200 of the widgets sold and shipped on January 5, 2020. All items were in excellent condition and returned to inventory. 5. January 15, 2020: Received 2.500 widgets with unit cost of $5.90. Payment terms are net 30-no payment discount offered. Atlas Freight Company billed Widgets $250.00 for delivering the widgets and Widgets paid Atlas immediately 6. Calculate the following for January 2020: a. Inventory quantity on hand and account balance at the end of the month b. Net Sales. Cost of Goods Sold and Gross Profit for January 2020 1 Normal 1 No Spac... Heading 1 Heading 2 Title Styles #2-Conventional Retail Method Required: 1. Prepare an Excel spreadsheet analysis using the data provided on the following page to determine the ending inventory and cost of goods sold for 2019. Any calculated number should be calculated in Excel using reference to other cells. The spreadsheet should be designed for reuse in subsequent periods. Correctly calculate ending inventory and cost of goods sold. Prepare the journal entry in Excel to adjust inventory to the estimated value and close the purchase accounts to cost of goods sold. Link the amounts to your calculations. a. Round all calculated values to whole integers, e.g. 123.456.789 b. Round all ratios to 5 decimal places, eg.. 0.12345 or 12.345% Unlucky Blue Jean Company Conventional Retail Method Inventory and COGS During 2019, Unlucky Blue Jean Company lost its market share to Amazon.com Unlucky was unable to sell all of its merchandise and offered big markdowns in December. Unlucky's yearend is December 31. Use the Conventional Retail Method and the information provided below to determine the ending inventory, cost of goods sold and gross profit reported in the income statement for 2019, FACTS for 2019: Balances in general ledger: Inventory at January 1 Purchases Freight-in for purchases Purchase discounts taken Purchase returns Sales revenue Sales returns Retail Data: Value of inventory at January 1 Value of net purchases Net markups Net markdowns $ 27.889.356 355,086.236 908,368 4.372.980 12.352.525 704,767,693 58.627.749 62.345.952 754.973.542 7.426,242 154.297.270 Sim 3 inventory(1) (4) - Word abdifatah nur Review View Help Grammarly Tell me what you want to do - E 21 1 Normal 1 No Spac... Heading 1 Heading 2 Title Paragraph Styles #3 Lower of Coster NRV Novell Nursery has developed the following data in order to calculate the lower of cost or se realable value for its products. The individual products are based within the categories of trees Selling Broad leaf trees $1,300 2.200 Beech Nedeleaf trees $1,700 1,600 $2.500 3,600 $1.750 3,350 Fruit trees Apple $1,800 2.100 $1,400 1.300 The costs to sell are 10% of selling price, Required: Determine the reported inventory value assuming the lower of cost ornet realuable value rule is applied to individual trees 14 Lower of Cost or Market Weldon Animal Feede has developed the following data to calculate LIFO lower of cost or market for its products. The individual products are listed individually among the categories offered in thousands): Selling Cost to Price Cost Replace Large animals Cattle $320 $160 $170 Horse 400 400 325 Small animals $160 $320 $280 Dog 120 90 40 Exotic pets: Ferret 5140 $112 598 70 48 21 The disposal costs we 20% of the selling price and the normal profit margin on all feed is 25% of the selling price. Required: Determine the reported inventory value assuming the LIFO lower of cost or market rule is applied to categories of feed products. neile applied to categories of feed products. #5 Gross profit method On December 31, 2014 Felt Company's inventory burned in a fire hazard. Sales and purchases for the year had been $1,500,000 and $980,000, respectively. The beginning inventory (Jan. 1, 2014) was $170,000; in the past Felt's gross profit has averaged 40% of selling price. Instructions Compute the estimated cost of inventory burned for the purpose of insurance claims, and give entries as of December 31, 2014 to close merchandise accounts lease can you do question 2 Jease can you uestion 2 n ACCTG 331, Intermediate Accounting Simulations #3: Inventory Ch 8 and 9 30 points USE EXCEL SPREADSHEET FOR ALL OF YOUR WORK #1--Perpetual Inventory Method - Journal Entries Required: Prepare journal entries for each of the following transactions under the Perpetual Inventory method include recording date and all required expense and balance sheet accounts. The Widget Company sells only one product (widgets) and uses FIFO. December 31, 2019 inventory is as follows: Date purchased December 5, 2019 December 20, 2019 December 28, 2019 Quantity 1.500 700 500 Unit cost $5.34 $5.48 $5.40 1. January 2, 2020: Received 1,000 widgets with a unit cost of $6.00. The units were shipped from the supplier on December 29, 2019 FOB shipping point. The widgets were not included in the December 31, 2019 inventory. Payment terms are 2/10.net 30. The company uses the Net Method for recording payment discounts. 2. January 5, 2020: Sold 3,000 widgets for $11.00 each and shipped FOB shipping point. Payment terms are 1/10 net 30. The company uses the Gross Method for recording sales discounts. 3. January 6, 2020: Paid in full for the 1,000 widgets received on January 2 2020. 4. January 10, 2020: Customer returned 200 of the widgets sold and shipped on January 5, 2020. All items were in excellent condition and returned to inventory. 5. January 15, 2020: Received 2.500 widgets with unit cost of $5.90. Payment terms are net 30-no payment discount offered. Atlas Freight Company billed Widgets $250.00 for delivering the widgets and Widgets paid Atlas immediately 6. Calculate the following for January 2020: a. Inventory quantity on hand and account balance at the end of the month b. Net Sales. Cost of Goods Sold and Gross Profit for January 2020 1 Normal 1 No Spac... Heading 1 Heading 2 Title Styles #2-Conventional Retail Method Required: 1. Prepare an Excel spreadsheet analysis using the data provided on the following page to determine the ending inventory and cost of goods sold for 2019. Any calculated number should be calculated in Excel using reference to other cells. The spreadsheet should be designed for reuse in subsequent periods. Correctly calculate ending inventory and cost of goods sold. Prepare the journal entry in Excel to adjust inventory to the estimated value and close the purchase accounts to cost of goods sold. Link the amounts to your calculations. a. Round all calculated values to whole integers, e.g. 123.456.789 b. Round all ratios to 5 decimal places, eg.. 0.12345 or 12.345% Unlucky Blue Jean Company Conventional Retail Method Inventory and COGS During 2019, Unlucky Blue Jean Company lost its market share to Amazon.com Unlucky was unable to sell all of its merchandise and offered big markdowns in December. Unlucky's yearend is December 31. Use the Conventional Retail Method and the information provided below to determine the ending inventory, cost of goods sold and gross profit reported in the income statement for 2019, FACTS for 2019: Balances in general ledger: Inventory at January 1 Purchases Freight-in for purchases Purchase discounts taken Purchase returns Sales revenue Sales returns Retail Data: Value of inventory at January 1 Value of net purchases Net markups Net markdowns $ 27.889.356 355,086.236 908,368 4.372.980 12.352.525 704,767,693 58.627.749 62.345.952 754.973.542 7.426,242 154.297.270 Sim 3 inventory(1) (4) - Word abdifatah nur Review View Help Grammarly Tell me what you want to do - E 21 1 Normal 1 No Spac... Heading 1 Heading 2 Title Paragraph Styles #3 Lower of Coster NRV Novell Nursery has developed the following data in order to calculate the lower of cost or se realable value for its products. The individual products are based within the categories of trees Selling Broad leaf trees $1,300 2.200 Beech Nedeleaf trees $1,700 1,600 $2.500 3,600 $1.750 3,350 Fruit trees Apple $1,800 2.100 $1,400 1.300 The costs to sell are 10% of selling price, Required: Determine the reported inventory value assuming the lower of cost ornet realuable value rule is applied to individual trees 14 Lower of Cost or Market Weldon Animal Feede has developed the following data to calculate LIFO lower of cost or market for its products. The individual products are listed individually among the categories offered in thousands): Selling Cost to Price Cost Replace Large animals Cattle $320 $160 $170 Horse 400 400 325 Small animals $160 $320 $280 Dog 120 90 40 Exotic pets: Ferret 5140 $112 598 70 48 21 The disposal costs we 20% of the selling price and the normal profit margin on all feed is 25% of the selling price. Required: Determine the reported inventory value assuming the LIFO lower of cost or market rule is applied to categories of feed products. neile applied to categories of feed products. #5 Gross profit method On December 31, 2014 Felt Company's inventory burned in a fire hazard. Sales and purchases for the year had been $1,500,000 and $980,000, respectively. The beginning inventory (Jan. 1, 2014) was $170,000; in the past Felt's gross profit has averaged 40% of selling price. Instructions Compute the estimated cost of inventory burned for the purpose of insurance claims, and give entries as of December 31, 2014 to close merchandise accounts lease can you do question 2 Jease can you uestion 2