Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

This is all one single question. All the charts are based of the first picture of instructions. thanks for your help ! The accounting records

This is all one single question. All the charts are based of the first picture of instructions. thanks for your help !
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
The accounting records of Wall's China Shop reflected the following balances as of January 1, Year 2: Canh Beginning inventory Common stock Retained earnings $80, 100 33,000 (220 units $150) 50,000 63,100 The following five transactions occurred in Year 2: 1. First purchase (cash) 150 units @ $155 2. Second purchase (cash) 160 units o $160 3. Sales (ali cash): 410 units @ $320 4. Paid $38,000 cash for salaries expense 5. Pald 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. Record the above transactions in general journal form and post to T-accounts assuming (1) FIFO cost flow. (2) LIFO cost flow, and (3) weighted-average cost flow. Assume perpetual inventory system is used. 1. FIFO 2. LIFO 3. Weighted Average c. Use a vertical model to show the Year 2 income statement, balance sheet, and statement of cash flows under FIFO, LIFO, and weighted average. Cost of Goods Sold Ending Inventory FIFO LIFO Weighted average WALL'S CHINA SHOP Computation of Income Tax Expense and Net Income FIFO LIFO Weighted Average 0 0 0 0 0 0 $ 0 $ 0 $ 0 Journal entry worksheet 1 2 3 56 > Record entry merchandise inventory purchased for cash. Note: Enter debits before credits. Event General Journal Debit Credit 01 Record entry Clear entry View general Journal Cash Merchandise Inventory Beg. Bal Beg. Bal End. Bal End. Bal Common Stock Retained Earnings Beg. Bal Beg! End. Bal End. Bal Sales Revenue Cost of Goods Sold Beg. Bal Beg. Bal End. Bal End. Bal Salaries Expense Income Tax Expense Beg. Bal Bege End. Bal End, Bal Journal entry worksheet 1 2 3 4 5 6 Record entry merchandise inventory purchased for cash. Note: Enter debits before credits. Event General Journal Debit Credit 01 Record entry Clear entry View general journal Record the above transactions in post to T-accounts assuming LIFO cost flow. Assume perpetual inventory system is used. (Round your final answers to the nearest whole dollar amount.) Cash Merchandise Inventory Beg. Bal Beg. Bal End. Bal End. Bal Common Stock Retained Earnings Beg Bai Beg Bal End. Bal End. Bal Sales Revenue Cost of Goods Sold Beg Bal Beg Bal End. Bal End. Bal Salaries Expense Income Tax Expense Beg Bal Beg. Bal End. Bal End. Bal Journal entry worksheet

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

Accounting

Authors: Carl s. warren, James m. reeve, Philip e. fess

21st Edition

978-0324400205, 324225016, 324188005, 324400209, 9780324225013, 978-0324188004

More Books

Students also viewed these Accounting questions

Question

find all matrices A (a) A = 13 (b) A + A = 213

Answered: 1 week ago