! Required information Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system (LO8-1, 8-4) (The following information applies to the questions displayed below.] Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021: Aug.1 Inventory on hand3,000 units; cost $7.10 each. 8 Purchased 15,000 units for $6.50 each. 14 Sold 12,000 units for $13.00 each. 18 Purchased 9,000 units for $6.00 each. 25 Sold 11,000 units for $12.00 each. 28 Purchased 5,000 units for $5.80 each. 31 Inventory on hand-9,000 units. Exercise 8-14 (Algo) Part 1 Required: 1. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using the FIFO method. Cost of Goods Available for Sale Cost of Goods Sold - August 14 Cost of Goods Sold - August 25 Inventory Balance Perpetual FIFO: Cost per # of units sold # of units Cost per Cost of Goods Sold Cost of Goods Available for Sale 3,000 $ 7.10 $ S 21,300 # of units Cost per sold unit # of units in Cost of Goods Sold Total Cost of Goods Sold Cost per unit unit unit Ending Inventory inventory $ 7.10 $ 7.10 $ 0 $ 7.10 $ 0 0 97,500 6.50 0 Beg. Inventory Purchases: August 8 August 18 August 28 Total 6.50 6.00 6.50 6.00 6.50 6.00 54,000 0 6.00 15,000 9,000 5,000 32,000 5.80 29,000 5.80 5.80 5.80 0 0 0 $ 201,800 0 $ 01 $ 0 $ 01 0 $ 0 ! Required information Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system (LO8-1, 8-4) (The following information applies to the questions displayed below. Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021: Aug.1 Inventory on hand3,000 units; cost $7.10 each. 8 Purchased 15,000 units for $6.50 each. 14 Sold 12,000 units for $13.00 each. 18 Purchased 9,000 units for $6.00 each. 25 Sold 11,000 units for $12.00 each. 28 Purchased 5,000 units for $5.80 each. 31 Inventory on hand-9,000 units. Exercise 8-14 (Algo) Part 2 2. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using the Average cost method. (Round "Average Cost per Unit" to 2 decimal places.) Inventory on hand Cost of Goods Sold Inventory Balance Perpetual Average # of units Cost per unit Inventory Value # of units Avg.Cost sold per unit Cost of Goods Sold # of units in inventory Cost per unit Ending inventory Beginning Inventory Purchase - August 8 Sale - August 14 Purchase - August 18 Sale - August 25 Purchase - August 28 Total
