Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Parkville Ltd is a wholesale distribution business that sells bottled water to supermarkets. The following information related to the business's activities during June 2020. 1

image text in transcribed

Parkville Ltd is a wholesale distribution business that sells bottled water to supermarkets. The following information related to the business's activities during June 2020. 1 June 7 June 12 June 19 June 23 June 29 June Opening Inventory Sales Purchases Sales Purchases Sales 2,000 bottles @ $0.96 800 bottles @ $1.30 1,200 bottles @ $1.10 900 bottles @ $1.38 1,500 bottles @ $1.15 1,000 bottles @ $1.42 Required: 1) If the company uses the periodic inventory method, calculate cost of goods sold, and ending inventory using the First-in First-out method. 2) If the company uses the perpetual inventory method, calculate cost of goods sold, and ending inventory using the First-in First-out method. 3) If the company uses the periodic inventory method, calculate cost of goods sold, and ending inventory using the weighted average method. 4) If the company uses the perpetual inventory method, calculate cost of goods sold, and ending inventory using the weighted average method. 5) If the company uses the perpetual inventory method, calculate cost of goods sold, and ending inventory using the specific identification method. (Assume the products sold on 7 June are from opening inventory, the products sold on 19 June are purchased on 12 June, and the products sold on 29 June are purchased on 23 June.) When you calculate unit cost, keep two digits after decimal. When you calculate the cost of goods sold and the cost of inventory, round up to the nearest dollar. Show all workings

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

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

9th Edition

978-0470317549, 9780470387085, 047031754X, 470387084, 978-0470533475

Students also viewed these Accounting questions