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when answering give clear steps for each problem listed below The accounting records of Wall's China Shop reflected the following balances as of January 1,
when answering give clear steps for each problem listed below
The accounting records of Wall's China Shop reflected the following balances as of January 1, Year 2 . The following five transactions occurred in Year 2 : 1. First purchase (cash): 125 units $90 2. Second purchase (cash): 200 units $98 3. Sales (all cash): 430 units o $195 4. Paid $15,700 cash for salaries expenses 5. Paid cash for income tax at the rate of 40 percent of income before taxes Required a. Compute the cost of goods sold and ending inventory, assuming (1) FiFO cost flow, (2) LIFO cost flow, and (3) weighted-overage cost flow. Compute the income tax expense for each method. b. Record the above transactions in general joumal form and post to T-accounts assuming each of the cost flows listed. Assume perpetual inventory system is used. 1. FIFO 2. LIFO 3. Weighted Average c. Use a vertical model to show the Year 2 income statement, balance sheet, and statement of cash flows under FIFO, LFF, and weighted average. Complete this question by entering your answers in the tabs below. Record the Year 2 transactions in T-accounts assuming FiFo cost fiow. Assume perpetual inventory system is ised. (Ahound interriediate calculations to 3 decimul places: Round your final answers to the nearest whole dollar amount.) Record the Year 2 transactions in T-accounts assuming FIFO cost flow. Assume perpetual inventory system is used. (Round intermediate calculations to 3 decimal places. Round your final ankwere in tha mowi. Ase Record the above transactions in general journal form assuming LIFO cost flow. Assume perpetual inventory system is used. (If no entry is required for a transaction/event, select "No foumal entry required" in the first account fleld. Round intermediate calculations to 3 decimal places. Round your final answers to the nearest whole dollar amount.) Journal entry worksheet 235 Record first purchase of merchandise inventory for cash. Wotet tnter debits before credid. Record the Year 2 transactions in T-accounts assuming LIFO cost flow. Assume nernatuat inuantanu coukam i. Record the above transactions in general joumal form assuming weighted-average cost flow. Assume perpetual inventory system is used. (If no entry is required for a transaction/event, select "No jourmal entry required in the first account field. Round intermediate. calculations to 3 decimal places. Round your final answers to the nearest whole dollar amount.) Journal entry worksheet 2356 Record first purchase of merchandise inventory for cash. Notet Enter debits before credits. ecord the Year 2 transactions in T-accounts assuming weighted-average cost flow. Assume perpetual inv ttermediate calculations to 3 decimal places. Round your final answers to the nearest whole dollar amour Step by Step Solution
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