Question 8 (6 points)

Alpha Company uses the periodic inventory system and had the following inventory & sales activity for the month of May 2016:

Date	Activity	Quantity	Unit Price
5/1	Beginning Inventory	100	$10
5/5	Purchase	200	$11
5/15	Purchase	300	$13
5/25	Purchase	150	$15

Sales were 500 units at $20. Using the FIFO method, determine the dollar values following for the month of May:

1. Ending Inventory

2. Cost of Goods Available for Sale

3. Cost of Goods Sold

Question 5 (10 points)

Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the net method is used.

> Alpha Company purchased on account $2,700 of merchandise from Bravo Company on May 2, 2016.

> Alpha Company returned, to Bravo Company, $300 of this merchandise on May 3, 2016.

> Freight charges related to this transaction of $150 were paid by Bravo Company.

Use this information to prepare Alpha Company's General Journal entries (without explanation) for May 2 & May 3 entries. If no entry is required then write "No Entry Required."

DATE	ACCOUNTS	DEBIT	CREDIT