Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

PB7-1 (Algo) Analyzing the Effects of Four Alternative Inventory Methods in a Periodic Inventory System [LO 7-3] Mojo Industries tracks the number of units purchased

image text in transcribed
image text in transcribed
PB7-1 (Algo) 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 inventory's selling price is $8 per unit. Unit Cost $ 2.00 Transactions Inventory, January 1 Sale, January 10 Purchase, January 12 Sale, January 17 Purchase, January 26 Units Total cost 200 $ 400 (170) 250 625 (120) 59 175 2.50 3.50 Required: 1. Compute the amount of goods available for sale, ending Inventory, and cost of goods sold at January 31 under each of the following Inventory costing methods: a, Weighted average cost. b. First-in, first-out. c. Last-In, first-out. d. Specific identification, assuming that the January 10 sale was from the beginning inventory and the January 17 sale was from the January 12 purchase Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Req 2B Compute the amount of goods available for sale, ending inventory, and cost of goods sold at January 31 under each of the Inventory costing methods. (Round your intermediate calculations to 2 decimal places and final answers to the nearest dollar amount.) Cost of Goods Sold a. Weighted average cost b. First-in, first-out c. Last-In, first-out d. Specific identification Amount of Goods Avallable for Sale Ending Inventory $ 1,200 $ 1,200 $ 1,200 $ 1,200 Rogi Reg 2A >

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

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

Payroll Accounting 2022

Authors: Jeanette Landin

8th Edition

126072879X, 9781260728798

More Books

Students also viewed these Accounting questions