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Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. Date March 1 March 5 Activities
Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. Date March 1 March 5 Activities Beginning inventory Purchase Units Acquired at Cost Units Sold at Retail 190 units 270 units $52.80 per unit @$57.80 per unit March 9 Sales 350 units $87.80 per unit March 18 March 25 March 29 Purchase Purchase 130 units 240 units @ $62.80 per unit $64.80 per unit Sales Totals 830 units 220 units $97.80 per unit 570 units 4. Compute gross profit earned by the company for each of the four costing methods. For specific identification, units sold include 110 units from beginning inventory, 240 units from the March 5 purchase, 90 units from the March 18 purchase, and 130 units from the March 25 purchase. Note: Round weighted average cost per unit to two decimals and final answers to nearest whole dollar. Gross Margin FIFO LIFO Weighted Average Specific ID Sales Less: Cost of goods sold Gross profit
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