Question
Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. Date Activities Units Acquired at Cost Units
Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.
Date | Activities | Units Acquired at Cost | Units Sold at Retail | |||||||||
Mar. | 1 | Beginning inventory | 160 | units | @ $52.20 per unit | |||||||
Mar. | 5 | Purchase | 255 | units | @ $57.20 per unit | |||||||
Mar. | 9 | Sales | 320 | units | @ $87.20 per unit | |||||||
Mar. | 18 | Purchase | 115 | units | @ $62.20 per unit | |||||||
Mar. | 25 | Purchase | 210 | units | @ $64.20 per unit | |||||||
Mar. | 29 | Sales | 190 | units | @ $97.20 per unit | |||||||
Totals | 740 | units | 510 | units | ||||||||
1. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average. and (d) specific identification For specific identification, the March 9 sale consisted of 95 units from beginning inventory and 225 units from the March 5 purchase; the March 29 sale consisted of 75 units from the March 18 purchase and 115 units from the March 25 purchase.
2. Compute gross profit earned by the company for each of the four costing methods. For specific identification, the March 9 sale consisted of 95 units from beginning inventory and 225 units from the March 5 purchase; the March 29 sale consisted of 75 units from the March 18 purchase and 115 units from the March 25 purchase. (Round weighted average cost per unit to two decimals and final answers to the nearest whole dollar.)
--- I have most of the answer except for the last 2 columns ---
Gross Margin | FIFO | LIFO | Avg. Cost | Spec. ID |
---|---|---|---|---|
Sales | $46,372 | $ 46,372 | $4 6,372 | $ 46,372 |
Less: COGS | 28,847.00 | 30,177.00 | ||
Gross Profit | $17,525 | $16,195 |
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