Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solve only Q23 in 30 mins thanks QUESTIONS 20, 21, 22 AND 23 Crystal Ltd. specialises in retailing one product. The firm purchases its inventory

image text in transcribed

image text in transcribed

Solve only Q23 in 30 mins thanks

QUESTIONS 20, 21, 22 AND 23 Crystal Ltd. specialises in retailing one product. The firm purchases its inventory from a regional wholesaler and sells through a catalogue. Details of Crystal Ltd's purchases and sales for the month of May 2021 are as follows: Purchases Date 6th May 18th May 28" May Units received 30 36 40 Production cost per unit 20.00 25.00 28.00 Sales Date 10th May May 29" May 20th Units sold 25 38 37 Sales price per unit 40.00 60.00 70.00 Note: Crystal Ltd had no opening inventory at 1.5.21 QUESTION 20 What is the purchases figure for Crystal Ltd's Statement of profit or loss? WORKINGS: ANSWER: (2 marks) QUESTION 21: What is the sales figure for Crystal Ltd's Statement of profit or loss? WORKINGS: ANSWER: (QUESTIONS CONTINUE ON NEXT PAGE) QUESTION 22 What would the closing inventory amount be under the FIFO inventory valuation? WORKINGS: ANSWER: (3 marks) QUESTION 23: What would the closing inventory amount be under the AVCO inventory valuation using the perpetual method? WORKINGS: ANSWER: (4 marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

GMP Audit Trainer Good Manufacturing Practices Made Easy

Authors: Mr Brendan Cooper

1st Edition

1548711934, 978-1548711931

More Books

Students also viewed these Accounting questions