Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please answer all the missing information in the question Some of the information found on a detailed inventory card for Blue Spruce Stationery Ltd. for

image text in transcribed

image text in transcribed

image text in transcribed

Please answer all the missing information in the question

Some of the information found on a detailed inventory card for Blue Spruce Stationery Ltd. for May is as follows: Received Unit No. of Units Cost 1,230 $2.90 1,120 3.00 Issued No. of Units Date May 1 (opening balance) 750 640 3.20 Balance No. of Units 1,230 2,350 1,600 2,240 1,700 2,430 1,230 1,780 2,630 3,380 1,980 540 1,050 3.30 320 1,200 1,400 3.40 850 1,600 3.60 1,400 From the above data, calculate the ending inventory based on each of the following cost formulas. Assume that perpetual inventory records are kept in units only and average cost is calculated monthly at each month end. (Round intermediate calculations to 2 decimal places, e.g. 52.75 and final answers to O decimal places, e.g. 5,275.) Ending Inventory First-in, first-out (FIFO) $ Weighted average cost $ Based on your results in part (a), and assuming that the average selling price per unit during May was $7.25, prepare partial income statements up to the "gross profit on sales" line. (Round answers to 0 decimal places, e.g. 5,275.) FIFO Weighted Average Calculate the gross profit percentage under each inventory cost formula. (Round answers to 1 decimal place, e.g. 527.5.) Gross Profit Percentage First-in, first-out (FIFO) Weighted average cost e Textbook and Media Assume the perpetual inventory record is kept in dollars, and costs are calculated at the time of each withdrawal. Recalculate the amounts under this revised assumption. (Round average unit costs to 4 decimal places, e.g. 52.7521 and final answers to 2 decimal places, e.g. 52.75.) Ending Inventory First-in, first-out (FIFO) $ Moving average cost $ e Textbook and Media Would the ending inventory amounts under each of the two cost formulas above be the same

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

Financial Accounting Tools For Business Decision Making

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

3rd Edition

047169195X, 978-0471691952

More Books

Students also viewed these Accounting questions