Problem 6-3A 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 Units Acquired at Cost 660 units @ $35 per unit 330 units @ $32 per unit 110 units @ $20 per unit 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 760 units @ $75 per unit 180 units @ $40 per unit 570 units @ $36 per unit 750 units @ $75 per unit 1,510 units 1,850 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 Goods Purchased # of Cost per units unit Cost of Goods Sold # of units Cost per Cost of Goods Sold unit Date Inventory Balance Cost per # of units Inventory unit Balance 660 @ $35.00 = $ 23,100.00 sold Jan 1 Feb 10 Mar 13 Mar 15 Aug 21 Sept 5 Sept 10 Total non nnn Perpetual LIFO: Goods Purchased Cost of Goods Sold Inventory Balance Cost per Date # of units # of units sold Cost per cost of Goods Sold # of units unit unit Cost per unit $ 35.00 Inventory Balance $ 23,100.00 Jan 1 660 @ Feb 10 Mar 13 Mar 15 Aug 21 Sept 5 Sept 10 0 Totals $ 0.00 Weighted Average Perpetual: Goods Purchased # of Cost per Date units unit Jan 1 Cost of Goods Sold # of units Cost per cost of Goods Sold sold unit Cost per Inventory Balance Inventory # of units unit Balance 660 @ $ 35.00 $ 23,100.00 = Feb 10 Average Mar 13 Mar 15 Aug 21 Average Sept 5 Sept 10 Totals $ 0.00 Specific Identification Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory Cost per # of units Cost per unit Cost of Goods Available for Sale # of units sold Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory unit Beginning inventory 660 $ 35.00 $ 27,000 0 $ 35.00 $ 0 Purchases: Feb 10 330 $ 32.00 230 $ 32.00 7,360 100 $ 32.00 3,200 March 13 110 $ 20.00 0 $ 20.00 0 180 $ 40.00 16,800 5,400 5,000 23,000 $ 77,200 O $ 40.00 Aug 21 Sep 5 0 570 $ 35.00 0 $ 36.00 0 Total 1,850 230 $ 7,360 100 $ 3,200
