Washington Dycles started May with 12 bicycles that cost 542 each On May 16, Washington bought 40 bicycles at $68 cach. On May 31, Washington sold 18 bicycles for $110 each. Requirements 1. Prepare Washington Cycle's perpetual inventory record assuming the company uses the specific identification inventory cosing method. Assume that Washington sold 10 bicycles that cost $42 cach and bicycles that cost $63 cach 2 Journalize the May 16 purchase of merchandise inventory on account and the May 31 sale of merchandise inventory an account. Requirement 1. Prepare Washington Cycle's perpetual inventory record assuming the company uses the specific identification inventory costing method. Pasume that Washington sold 10 bicycles that cost $42 cach and bicycles that cost $68 cach Start by entering the beginning inventory balances. Enter the transactions in chronological order, calculating now inventory on hand balances altercach transacion Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first. Abbreviation used: OTY = Quantity. Tot = Total Washington Cycles Purchases Data QTY Unit Coct Tot Coct Cost of Goods Sold QTY Unit Coct Tot Coct Inventory on Hand Unit Cost Tol Cost QTY May 16 IN Requirement 2. Joumalize the May 16 purchase of merchandise inventory on account and the May 31 sale of merchandise inventory on account. (Racord debits first, then credits Select the planation on the last line of the journal entry table.) May 16: Purchased merchandise inventory on account Date Account and Explanation Dabit Credit My 16 MI May 31: Sale of merchandise inventory on account Begin by preparing the entry to jumalize the sale portion of the transaction. Do not record the expense rated to the sale. We will do that in the following step (Aasume that Washington sold the bicycles for $110 cach.) Date Accounts and Explanation Dabit Credit May 31 Now jumalize the expense related to the May 31 sale. Review the perpetual inventory record you prepared in Requirement 1. Date Accounts and Explanation Debit 31 Credit