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The accounting records of Wall's China Shop reflected the following balances as of January 1, 2018: Cash Beginning inventory Common stock Retained earnings $19,700 19,740

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The accounting records of Wall's China Shop reflected the following balances as of January 1, 2018: Cash Beginning inventory Common stock Retained earnings $19,700 19,740 (210 units @ $94) 15,400 24,040 The following five transactions occurred in 2018: 1. First purchase (cash) 120 units @ $96 2. Second purchase (cash) 205 units @ $104 3. Sales (all cash) 360 units @ $199 4. Paid $15,650 cash for salaries expense 5. Paid cash for income tax at the rate of 25 percent of income before taxes Required a. Compute the cost of goods sold and ending inventory, assuming (1) FIFO cost flow. (2) LIFO cost flow, and (3) weighted-average cost flow. Compute the income tax expense for each method b. Use a vertical model to show the 2018 income statement, balance sheet, and statement of cash flows under FIFO, LIFO, and weighted average. (Hint: Record the events under an accounting equation before preparing the statements.) Complete this question by entering your answers in the tabs below. Reg Reg 1 Red B2 Reg 3 Compute the cost of goods sold and ending inventory, assuming (1) FIFO cost flow, (2) LIFO cost flow, and (3) weighted- average cost flow. Compute the income tax expense for each method. (Do not round Intermediate calculations. Round your answers to nearest whole dollar amount.) FIFO $ 34,380 L IFO $ 36,130 Weighted Average Cost of goods sold Ending inventory Req A Req B1 Reg B2 Req B3 Use a vertical model to prepare the 2018 income statement under FIFO, LIFO, and weighted average. (Do not round intermediate calculations. Round your answers to nearest whole dollar amount.) ances WALL'S CHINA SHOP Income Statements For the Year Ended December 31, 2018 FIFO LIFO Weighted Average Salaries expense Income before tax Reg A Req B1 1 Regel Req B3 Use a vertical model to prepare the 2018 balance sheet under FIFO, LIFO, and weighted average. (Do not round intern calculations. Round your answers to nearest whole dollar amount.) renses WALL'S CHINA SHOP Balance Sheets As of December 31, 2018 FIFO LIFO Weighted Average Assets Total assets Stockholders' equity $ 0 $ 0 $ Total stockholders' equity S 0 S 0 S 0 complete this question by entering your answers in the tabs below. Dints 8 01:01:49 Req A Req B1 Req B2 Req B3 Use a vertical model to prepare the 2018 statement of cash flows under FIFO, LIFO, and weighted average. (Do not rou intermediate calculations. Round your answers to nearest whole dollar amount. Amounts to be deducted should be indl with a minus sign.) eBook Print WALL'S CHINA SHOP Statements of Cash Flows For the Year Ended December 31, 2018 FIFO LIFO Cash flows from operating activities Weighted Average References Net cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Net change in cash 00 Ending cash balance SO SO SO

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