Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please advise, I'm very lost. FR Universe began July with merchandise inventory of 70 crates of vitamins that costa total of 54,550. During the month,

image text in transcribed

image text in transcribed

Please advise, I'm very lost.

FR Universe began July with merchandise inventory of 70 crates of vitamins that costa total of 54,550. During the month, Fl Universo purchased and sold merchandise on account as follows (Click the icon to view the transactions) Read the requirements Date Quantity Cost Cost Quantity Cost Cost Quantity 70 Cost 65 Cost 4,550 Jul 1 0 - X Data Table 5 130 76 9,880 65 4,550 70 130 76 9,080 13 70 65 4,550 Jul.5 Purchase Jul 13 Sale Jul 18 Purchase 130 crates 576 each 140 crates @5100 each 150 crates 583 each 160 crates @5118 each 18 Jul. 26 Sale 26 Print Done Totals Enter any number in the edit hields and then click Check Answer Requirement 1. Prepare a perpetual inventory record, using the FIFO inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit. Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.) Purchases Cost of Goods Sold Unit Total Unit Total Inventory on Hand Unit Total Quantity Cost Cost Date Quantity Cost Cost Quantity Cost Cost Jul. 1 5 13 181 26 Totals Determine the company's gross profit using the FIFO inventory costing method. Gross profit is $ using the FIFO inventory costing method. Requirement 2. Prepare a perpetual inventory record, using the LIFO inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit. Begin by computing the cost of goods sold and cost of ending merchandise inventory using the LIFO inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.) Purchases Cost of Goods Sold Unit Total Unit Total Inventory on Hand Unit Total Quantity Cost Cost Date Quantity Cost Cost Quantity Cost Cost Jul. 1 511 13 181 26 Totals Determine the company's gross profit using the LIFO inventory costing method. Gross profit is $ using the LIFO inventory costing method. Requirement 3. Prepare a perpetual inventory record, using the weighted average inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit. Begin by computing the cost of goods sold and cost of ending merchandise inventory using the weighted average inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Round weighted average cost per unit to the nearest cent and all other amounts to the nearest dollar) Purchases Cost of Goods Sold Unit Total Unit Total Inventory on Hand Unit Total Quantity Cost Date Quantity Cost Cost Quantity Cost Cost Cost Jul. 1 5 13 18 26 Totals Determine the company's gross profit using the weighted average inventory costing method. Gross profit is $ using the weighted average inventory costing method. Requirement 4. If the business wanted to pay the least amount of income taxes possible, which method would it choose? If the business wanted to pay the least amount of income taxes possible, they would choose

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

Performance Audit Report Property Assessment Division Department Of Revenue

Authors: Montana Legislature Office Of The L

1st Edition

1019260211, 978-1019260210

More Books

Students also viewed these Accounting questions

Question

What is meant by 'Wealth Maximization ' ?

Answered: 1 week ago