1. Use an EXCEL spreadsheet to reproduce the above table and determine the ending inventory under a perpetual inventory system using (1) FIFO and (2) average cost.

ACCT10002: Assignment Task No. 1 DUE DATE: 9pm Sunday 27th August 2017 The first tutorial assessment task that needs to be completed for this semester and uploaded to the assignment link on the LMS is provided below. While you should use EXCEL to do your workings/calculations you will need to submit a single PDF file to ensure appropriate printing and presentation. This tutorial assignment task is worth 3% of your final assessment. Watson Pty Ltd began operations on 1 July. It uses a perpetual inventory system. During July the business had the following purchases and sales: Purchases Date Units Unit cost Sales units July 1 5 $90 6 3 11 4 $99 14 3 21 3 $106 27 4 Required: (a) Use an EXCEL spreadsheet to reproduce the above table and determine the ending inventory under a perpetual inventory system using (1) FIFO and (2) average cost. (It is advisable to prepare a separate table for each method.) (b) Explain which costing method produces the highest cost allocation to ending inventory and what difference each method would make to the profit reported by Watson Pty. Ltd.? Commentary should be brief (approx 75-100 words). NOTE: There will be no specific instruction provided in class but students are referred to the following website for guidance in developing their knowledge and skills in EXCEL. A number of software modules have been developed by the University of Melbourne to assist students to enhance their software skills. Refer to the Excel module for these exercises. http://pickitup.unimelb.edu.au/ Students may also find resources such as the \"ExcelIsFun\" Youtube channel (2500+ videos) to be helpful if you do not have any basic excel skills. Basic formatting of font sizes & borders, printing to pdf and appropriate formatting and presentation of data is expected not only for the assignment, but also by employers. There is no requirement to follow a specific format in presenting the spread-sheet (worksheet). Note however that marks will be awarded not just for the calculations and accuracy but on the report presentation format, and the commentary so students are advised to give some thought to the way they choose to present their work. For the exercise students must verify that the work they upload represents their own work and not some other person's work. By submitting via the LMS you are agreeing that the work submitted is your own original work. There are severe penalties for academic misconduct. Students should familiarise themselves with the Academic Integrity module in the LMS and review the University Policy: http://academicintegrity.unimelb.edu.au/ ACCT10002: Assignment Task No. 1 Semester 2, 2017 pg. 1