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Need help with this. B-C rows are incorrect. Please be specific in how you get you answers. PB7-1 Analyzing the Effects of Four Alternative Inventory
Need help with this. B-C rows are incorrect. Please be specific in how you get you answers.
PB7-1 Analyzing the Effects of Four Alternative Inventory Methods in a Periodic Inventory System [LO 7-3]
Mojo Industries tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period, as if it uses a periodic inventory system. Assume its accounting records provided the following information at the end of the accounting period, January 31. The inventorys selling price is $10 per unit. |
Transactions | Unit Cost | Units | Total Cost | ||||||||
Inventory, January 1 | $ | 3.00 | 190 | $ | 570 | ||||||
Sale, January 10 | (160 | ) | |||||||||
Purchase, January 12 | 3.50 | 240 | 840 | ||||||||
Sale, January 17 | (140 | ) | |||||||||
Purchase, January 26 | 4.50 | 70 | 315 | ||||||||
Assuming that for Specific identification method (item 1d) the January 10 sale was from the beginning inventory and the January 17 sale was from the January 12 purchase. |
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