Problem 5-3A perpetual: alternative cost flows LO P1

Problem 5-3A Perpetual: Alternative cost flows LO P1 Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Units Sold at Retail Date Activities Jan. 1 Beginning inventory Feb. 10 Purchase Mar. 13 Purchase Mar. 15 Sales Aug. 21 Purchase Sept. 5 Purchase Sept. 10 Sales Totals Units Aequired at Cost 540 units @ $40 per unit 320 units & $36 per unit 100 units $24 per unit 120 units @ $45 per unit 520 units $41 per unit 650 units & $85 per unit 1,600 units 640 units $85 per unit 1,290 units Required: 1. Compute cost of goods available for sale and the number of units available for sale. Cost of goods available for sale Number of units available for sale units 2. Compute the number of units in ending inventory Ending inventory units Help Save & Exit Sub Check my work 3. Compute the cost assigned to ending inventory using (a) AFO.() LIFO. ( weighted average, and (d) specific identification. For specific identification, units sold consist of 540 units from beginning inventory, 220 from the February 10 purchase, 100 from the March 13 purchase, 70 from the August 21 purchase, and 360 from the September 5 purchase Complete this question by entering your answers in the tabs below. Perpetual FIFO perpetual LIFO Weighted Average Specific id Compute the cost assigned to ending Inventory using specific Identification. For specific identification, units sold consist of 540 units from beginning inventory, 220 from the February 10 purchase, 100 from the March 13 purchase, 70 from the August 21 purchase, and 360 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.) Specific Identification: Goods Purchased Cost of Goods Sold Inventory Balance Date # of Cost per of units Cost per units unit Inventory sold Cost of Goods Sold of units unit unit Balance January 1 540 $40.00 = $ 21.600.00 February 10 Cost per March 13 March 15 Aug 21 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) FIFO LIFO Welghted Average Specific Identification Sales Less: Cost of goods sold Gross profit $ 0$ 05 0 $ 0 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? Weighted Average Specific Identification FIFO LIFO