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Question 2 STAR Corporation, using a perpetual inventory system, entered into the following purchases and sales transactions for March. 2021. Date Mar. I Activities
Question 2 STAR Corporation, using a perpetual inventory system, entered into the following purchases and sales transactions for March. 2021. Date Mar. I Activities Beginning Inventory Mar. 5 Purchase Mar. 9 Sales Mar. 18 Purchase Mar. 25 Purchase Mar. 29 Sales Totals Required: Unit acquired at cost Unit sold at retail 5 units @ RM500/unit 20 units @ RM550/unit 6 units @ RM600/unit 10 units @ RM620/unit 41 units 21 units @ RM850/unit 8 units @ RM950/unit 29 units a) Compute cost of goods available for sale and the number of units available for sale. (2 marks) (2 marks) b) Compute the number of units in ending inventory. c) Compute the cost assigned to ending inventory using (i) FIFO, (ii) LIFO, and (iii) weighted average. (Round per unit costs to three decimals, but inventory balances to the RM.) (6 marks) d) Compute gross profit earned by the company for each of the THREE costing methods in part (5 marks) C.
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