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Question 5 At the end of May 2016 there was in stock 1,200 units of Product PZ25 at Jamaica Co Ltd, valued at $200 each.

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Question 5 At the end of May 2016 there was in stock 1,200 units of Product PZ25 at Jamaica Co Ltd, valued at $200 each. During June 2016, the company sold one unit of the product for $370. The following receipts and sales of the stock item took place during the month: Date Receipts Date June 2016 Quantity Total Cost May 2015 Quantity 5 800 S105,000 11 (1,400 17 1,200 $144,000 21 1,040 Sales Sales Price $420,000 $306,800 25 440 $55,000 30 680 $238,000 The accounting records also revealed that the following costs were incurred in the selling of MP250" during June 2016: carriage outwards, $100,000; salaries, $160,000; electricity $72,000. Required: (a) Jamaica Co. Ltd stores ledger card showing the values of the receipts, issues and closing stock for the month of June 2016 using the FIFO stock valuation method. (12 marks) (b) Prepare a statement of profit or loss made from selling "PZ25 during the month of June 2016 if $20,000 was pre- paid for electricity while $24,000 was owing for salaries at the end of June 2016. (5 marks) (c) Define three (3) types of inventories that have to be valued at the end of an accounting period. (3 marks) Question 5 At the end of May 2016 there was in stock 1,200 units of Product PZ25 at Jamaica Co Ltd, valued at $200 each. During June 2016, the company sold one unit of the product for $370. The following receipts and sales of the stock item took place during the month: Date Receipts Date June 2016 Quantity Total Cost May 2015 Quantity 5 800 S105,000 11 (1,400 17 1,200 $144,000 21 1,040 Sales Sales Price $420,000 $306,800 25 440 $55,000 30 680 $238,000 The accounting records also revealed that the following costs were incurred in the selling of MP250" during June 2016: carriage outwards, $100,000; salaries, $160,000; electricity $72,000. Required: (a) Jamaica Co. Ltd stores ledger card showing the values of the receipts, issues and closing stock for the month of June 2016 using the FIFO stock valuation method. (12 marks) (b) Prepare a statement of profit or loss made from selling "PZ25 during the month of June 2016 if $20,000 was pre- paid for electricity while $24,000 was owing for salaries at the end of June 2016. (5 marks) (c) Define three (3) types of inventories that have to be valued at the end of an accounting period

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