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 Aag.1 Theory on hand,000 units cost 58:10.cach Purchased 20,000 nits for $7.50 each 14 Sold 16,000 units for $14.00 each 1 Purchased 12,000 units for $7.00 each. 25 Sold 15, nits for $13.00 each 21 Purchased 6,000 units for $5.00 each. 31 Tetory a hand-11,000 units. Exercise 8-14 (Algo) Port 1 Required: 1. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report ins 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 Sold August 16 Cost of Good Arolable for sale Cost of Coat Goods Available for of Cost per Cost of Goods Sold Cost of Goods Sold August 25 Inventory Balance of units Cost per Cost of Total Cost of of units Cost per Goods So Goods Sold in Ending Investory unit Inventory os 8.105 O 40005 8.10 32.400 4000 58.10 $ 32.400 5 8.10 Beginventory Purchases August August 18 August T 750 120.000 20.000 12.000 6.000 2.000 100 750 700 580 150.000 15.000 SE000 34.90 5 301 200 16.000 3000 12.000 7.500 2500 000 580 750 700 580 1000 0 6.000 11.000 750 700 0 $ 120.000 5.10 15.000 $106.500 5 226 500 341 800 74700 5 sed Required information Exercise 8-14 (Algo) Inventory cost flow methods: perpetual system (L08-1.8.4) [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 hand 4,000 units; cost $8.12 cach. Purchased 20,000 units for $7.50 each. 14 Sold 16,000 units for $14.00 each. 18 Purchased 12,000 units for $7.00 each. 25 Sold 15,000 units for $13.00 each. 28 Purchased 6,000 units for 55.00 each. 31 Inventory on hand-11,000 units. Exercise 8-14 (Algo) Part 2 2. Using calculations based on a perpetual inventory system, determine the inventory balance Atira 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.) Perpetual Axtage Inventory on hand Cost per of units Inventory unit Value 4,000 $ 10 $ 32.400 20.000 5 750 150.000 Cost of Goods Sold of units Avg. Cost Cost of sold Goods Sold per unit Beginning inventory Purchase - August Inventory Balance of units in Cost per Ending Inventory unit inventory 4.000 5 8.10$ 32.400 20.000 5 7505 150.000 24.000 3 102.400 Sale - August 14 Purchase August 18 16.000 12.000 5700 34.000 5 0 15.000 Sale - August 25 Purchase - August 28 Total 6.000 $ 500 42.000 34.800 5 301,200 3 0 0
