Question 4 (11 marks)

HARDA Limited is a retailer of office stationery and art supplies. The internal auditor of the business is concerned about the inventory management of the speciality pen (a product with the highest level of sale). The following information is extracted from the records of HARDA Limited. The company uses the perpetual inventory system to record the inventory of its products. Its monthly reporting date is 30 October.

Date	Purchased	Sold	Balance
1/10			600 @ 5.00
6/10	400 @ 5.20
15/10		800 @ 10
20/10	600@4.75
25/10		400@12
30/10		100 (Sales Return from 25/10 Sales)
Total	1000	1100

Required:

1. Complete the inventory stock record below for the speciality pen of HARDA Limited. All transactions occurred in the month of October. Ignore GST. (7 marks)
2. Calculate the Cost of Sales (COS) for 30 October, assuming the FIFO Method. (2 mark)
3. Calculate the Ending Inventory on 30 October, assuming the FIFO Method. (2 mark)

(Note: please write your answers in by completing the table, as provided below.)

Date	Purchases			Cost of Goods Sold			Balance
	Units	Unit cost	Total $	Units	Unit cost	Total $	Units	Unit cost	Total $