THIS IS AN IMPORTANT QUESTION.

Required: a. Prepare a stock card for Item1 and Item2 using the FIFO assumption. Complete the stock cards on table provided below. (15 marks) [Answer here] a. DATE TRANSACTION IN OUT BALANCE Qty Cost Total Qty Cost Total Qty Cost TotalThe following information relates to the purchases and sales transactions of Robert Ltd for the period ended 31 December 2017. The FIFO method of stock valuation has been consistently applied. Date Transaction 1 Stock on hand Item1 - 400 units at the cost $20 each Item1 - 300 units at the cost of $30 each Item2 - 100 units at the cost of $50 each December 4 Purchased 100 Item1 for $40 6 Purchased 150 Item2 for $50 10 Sold 300 Item1 for $40 15 Sold 400 Item1 for $50 20 Sold 150 Item2 for $90 31 The stocktake revealed that there were: 99 Item1 in stock 101 Item2 in stock