QUESTION 1

1. Table 7-3 Alton Company had the following activity in its inventory account during April 20X9. Cost per Date Activity Units Unit Cost Total April 1 Beginning inventory 100 $3.00 $300 April 3 Purchase 40 3.10 124 April 7 Sale 50 April 12 Purchase 50 3.20 160 April 16 Sale 70 April 23 Sale 40 April 30 Purchase 60 3.30 198 Units in beginning inventory 100 units Units purchased 150 units Units sold 160 units Referring to Table 7-3, what is the ending inventory balance at April 30, 20X9, for Alton Company if the company uses perpetual FIFO as its inventory valuation method?

   		$297.50
   		$270.00
   		$358.00
   		$198.00
   		$294.00

1 points

QUESTION 2

1. Given the following data, what is cost of goods sold? Sales revenue $10,000 Beginning inventory 3,000 Ending inventory 7,000 Purchases of inventory 5,000

   		$12,000
   		$ 9,000
   		$ 8,000
   		$ 7,000
   		$ 1,000

1 points

QUESTION 3

1. Table 7-3 Alton Company had the following activity in its inventory account during April 20X9. Cost per Date Activity Units Unit Cost Total April 1 Beginning inventory 100 $3.00 $300 April 3 Purchase 40 3.10 124 April 7 Sale 50 April 12 Purchase 50 3.20 160 April 16 Sale 70 April 23 Sale 40 April 30 Purchase 60 3.30 198 Units in beginning inventory 100 units Units purchased 150 units Units sold 160 units Referring to Table 7-3, what is the ending inventory at April 30, 20X9, for Alton Company if the company uses periodic weighted average as its inventory valuation method (round all calculations to the nearest penny)?

   		$290.70
   		$285.60
   		$294.00
   		$281.70
   		$290.22

1 points

QUESTION 4

1. Which of the following statements is correct?

   		The perpetual inventory system requires a closing entry in order to determine cost of goods sold before cost of goods sold can be closed to the income summary account.
   		The purchases account is used under both the periodic and perpetual inventory systems.
   		Under the periodic inventory system, neither the cost of goods sold account nor the inventory account is computed on a daily basis.
   		The perpetual inventory system continually updates the inventory, purchase discounts, and cost of goods sold accounts.
   		Purchase returns and allowances are accounted for separately under the perpetual inventory system but are combined into the inventory account under the periodic inventory system.

1 points