Question
Required information M7-7 to M7-9 Calculating Cost of Goods Available for Sale, Ending Inventory, Sales, Cost of Goods Sold, and Gross Profit under Periodic FIFO,
Required information
M7-7 to M7-9 Calculating Cost of Goods Available for Sale, Ending Inventory, Sales, Cost of Goods Sold, and Gross Profit under Periodic FIFO, LIFO, and Weighted Average Cost [LO 7-3]
[The following information applies to the questions displayed below.]
The following are the transactions for the month of July.
Units | Unit Cost | Unit Selling Price | ||||||||
July 1 | Beginning Inventory | 51 | $ | 10 | ||||||
July 13 | Purchase | 255 | 12 | |||||||
July 25 | Sold | (100 | ) | $ | 16 | |||||
July 31 | Ending Inventory | 206 | ||||||||
M7-7 Calculating Cost of Goods Available for Sale, Ending Inventory, Sales, Cost of Goods Sold, and Gross Profit under Periodic FIFO [LO 7-3]
Calculate cost of goods available for sale and ending inventory, then sales, cost of goods sold, and gross profit, under FIFO. Assume a periodic inventory system is used. (Round "Cost per Unit" to 2 decimal places and your final answers to nearest whole dollar amount.) PLEASE EXPLAIN HOW TO CALCULATE UNITS FROM JULY 13 PURCHASE!
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