11. Now assume the same information: The Beach Bum Surf Co. is evaluating the inventory of its most popular boogie board as the summer season ends. They had beginning inventory of 20 boards at a cost of $25. Then purchases of 130 boards at $27 each, 140 boards at $28 each, and 135 boards at $30 each. If ending inventory is 15 boards and Beach Bum uses the LIFO method, what would be the dollar amount assigned to
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- Pietro expects to produce 50,000 units and sell 49,300 units. Beginning inventory of finished goods is 42,500, and ending inventory of finished goods is expected to be 34,000. Required: 1. Prepare a statement of cost of goods sold in good form. 2. What if the beginning inventory of finished goods decreased by 5,000? What would be the effect on the cost of goods sold?On March 1, a company purchased 10 footballs for $5 each. On March 11, the company purchased an additional 10 footballs for $7 each. On March 20, it sold 9 footballs for $20 each. If the company is using the averaging method, its ending inventory on March 20 would be? Question 1 A company starts the year with twenty units of inventory costing $20 each. In January, ten of these units are sold for $40 each. Then, ten new units are bought for $22 each. Shortly thereafter, ten units are sold for $50 each. Then, ten units are bought for $27 each. Finally, near the end of the year, ten units are sold for $60 each. If a weighted average (periodic) system is in use, the cost of ending inventory is: If a weighted average (perpetual) system is in use, the cost of ending inventory is: A company starts operations on October 1, Year One, holding 400 units of inventory whichfills its store. This inventory costs $10 per unit. After that, enough inventory is…A company starts the year with twenty units of inventory costing $20 each. In January, ten of these units are sold for $40 each. Then, ten new units are bought for $22 each. Shortly thereafter, ten units are sold for $50 each. Then, ten units are bought for $27 each. Finally, near the end of the year, ten units are sold for $60 each. If a weighted average (periodic) system is in use, the cost of ending inventory is: If a weighted average (perpetual) system is in use, the cost of ending inventory is:
- Marvin Company has a beginning inventory of 12 sets of paints at a cost of $1.50 each. During the year, the store purchased 4 sets at $1.60, 6 sets at $2.20, 6 sets at $2.50, and 10 sets at $3.00. By the end of the year, 25 sets were sold.a. Calculate the number of paint sets in ending inventory. Number of paint sets b. Calculate the cost of ending inventory under LIFO, FIFO, and the weighted average methods. (Round your answers to the nearest cent.) Cost of ending inventory under LIFO Cost of ending inventory under FIFO Cost of ending inventory under Weighted AverageMarvin Company has a beginning inventory of 13 sets of paints at a cost of $1.90 each. During the year, the store purchased 5 sets at $2.00, 7 sets at $2.60, 7 sets at $2.90, and 11 sets at $3.40. By the end of the year, 28 sets were sold. Calculate the number of paint sets in ending inventory. Number of paint sets = 15 Calculate the cost of ending inventory under LIFO, FIFO, and the weighted average methods. Note: Round your answers to the nearest cent. ost of ending inventory under LIFO $28.70selected answer correct Cost of ending inventory under FIFO $49.00selected answer correct Cost of ending inventory under Weighted Average $ Please answer weighted average question.Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The cost of placing an order is $30. The cost of holding one unit of inventory for one year is $15.00. Currently, Ottis places 160 orders of 4,000 plastic housing units per year. REQUIRED: 1. Compute the annual ordering cost. 2. Compute the annual carrying cost. 3. Compute the cost of Ottis’s current inventory policy. Is this the minimum cost? Why or why not?
- Tristan, Inc., uses the LIFO cost-flow assumption to value inventory. It began the current year with 2,000 units of inventory carried at LIFO cost of $20 per unit. During the first quarter, it purchased 8,000 units at an average cost of $40 per unit and sold 9,500 units at $60 per unit.Assume the company expects to replace the units of beginning inventory sold in April at a cost of $45 per unit and expects inventory at year-end to be between 2,100 and 2,500 units. What amount of cost of goods sold should be recorded for the quarter ended March 31?a. $335,000b. $350,000c. $380,000d. $387,500Writing.com has a beginning inventory of 16 sets of pens at a cost of $2.12 each. During the year, Writing.com purchased 8 sets at $2.15, 9 sets at $2.25, 14 sets at $3.05, and 13 sets at $3.20. By the end of the year, 29 sets were sold. Ending Inventory 31 pens. Calculate the cost of ending inventory under LIFO, FIFO, and weighted-average methods. ( Round your intermediate calculation and final answers to the nearest cent).When a Mercator manufacturing Inc. checked its stores, it had the following inventory on hand as at December 31, 2020: I) 5,000 litres of lubricating oil that had cost $2.50 per litre: As at December 31, the selling price was $3.0 per litre. II) 50,000 kg of steel that had cost $0.50 per kg: As at December 31, the market price was $0.48 per kg III) spare parts that had cost $25,000: Mostly for production machinery that was no longer in use, so it was unlikely they could be used. They have no resale value IV) A replacement control unit for a customer's milling machine, which has a resale value of $10,000: The control unit was bought by the customer so that the Mercator could use it to repair their milling machine V) $20,000 of electronic parts that were in good working order but had gone beyond their "sell by" dates on the packages Required a) Show how the inventory would appear in the balance sheet as at December 31, 2020 b) If Mercator manufacturing sales for 2020 totalled $500,000,…
- Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The cost of placing an order is $30. The cost of holding one unit of inventory for one year is $15.00. Currently, Ottis places 160 orders of 4,000 plastic housing units per year. REQUIRED: Compute the annual ordering cost. Compute the annual carrying cost. Compute the cost of Ottis’s current inventory policy. Is this the minimum cost? Why or why not? Economic Order QuantityUse the following information for Problems 32 and 33.Tristan, Inc., uses the LIFO cost-flow assumption to value inventory. It began the current year with 2,000 units of inventory carried at LIFO cost of $20 per unit. During the first quarter, it purchased 8,000 units at an average cost of $40 per unit and sold 9,500 units at $60 per unit.Assume the company expects to replace the units of beginning inventory sold in April at a cost of $45 per unit and expects inventory at year-end to be between 2,100 and 2,500 units. What amount of cost of goods sold should be recorded for the quarter ended March 31?a. $335,000b. $350,000c. $380,000d. $387,500The following information for Dorado Corporation relates to the three-month period ending September 30. Units Price per unit Sales 425000 $36 Beginning Inventory 35000 18 Purchases 400000 24 Ending Inventory 10000 ? Dorado expects to purchase 150,000 units of inventory in the fourth quarter of the current calendar year at a cost of $25 per unit, and to have on hand 40,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs.Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30. Prepare journal entries to reflect these amounts.