3. A company uses the periodic inventory system, and the following information is available. All purchases and sales are on credit. Unit Unit Cost $3 30 Total Cost Unit Price $ 90 280 225 300 $ 895 Dec 1 Inventory Balance-- Dec 6 Purchase-- Dec 11 Purchase- Dec 16 Purchase-- Goods available- 70 4 45 5 50 6 195 Dec 12 Sale- 100 $10 Dec 20 Sale- 60 160 11 Goods sold-- Dec 31 Inventory Balance-- 35 (a) Prepare the general journal entries to record: The October 6 purchase. The October 12 sale. (b) Assuming the periodic inventory system is used, determine both the cost of the ending inventory and the cost of goods sold using the LIFO method for October.

Q: A. Beginning inventory, purchases, and sales for Item Copper are as follows:  Mar. 1  Inventory…

A: Step1:   Meaning: Perpeual Inventory system: We Continually update the inventory and cost of goods…

Q: mpany using the periodic inventory system has the following account balances: Merchandise Inventory…

A: Solution: Cost of merchandise purchased is the cost of purchases which is computed as purchase cost…

Q: Beginning inventory, purchases, and sales for Item FK7 are as follows: Sept. 1 Inventory 115 units…

A: LIFO: LIFO stands for Last-In, First-Out. As its name suggest, this method assumes that the most…

Q: Better Bottles, Inc., uses a periodic inventory system and has the following information availa…

A: First In, First Out: First In, First Out (FIFO) is a bookkeeping strategy wherein resources bought…

Q: Beginning inventory, purchases, and sales for Item HM46 are as follows: March 1   Inventory 100…

A:

Q: Beginning inventory, purchases, and sales for Item Doodad are as follows: July 1   Inventory 90…

A: Inventory is a stock that the company has held for the resale purpose or the goods that are not sold…

Q: You have the following information for Larkspur Inc. for the month ended October 31, 2022. Larkspur…

A: Weighted Average cost = (63*23) + (117*25) + (104*26) + (67*28) / (63 + 117 + 104 + 67) Weighted…

Q: The inventory data for an item for November are: Nov. 1 Inventory 24 units at $22 9 units 4 Sold 10…

A: LIFO - Last-In-First Out: As per LIFO inventory accounting, units purchased last are sold first.

Q: Beginning inventory, purchases, and sales for Item Gidget are as follows: Sept. 1 80 units at $175…

A: Calculate the cost of merchandise sold and ending inventory of item G as on september 30:In…

Q: Assume that Ivanhoe Company uses a periodic inventory system and has these account balances:…

A: Net purchases refer to the purchase cost reduced by returns, allowances and discount availed on such…

Q: Beginning inventory, purchases, and sales for Item PK95 are as follows: May 1 Inventory 48 units @…

A: FIFO: FIFO stands for First-In, First-Out. As its name suggest, this method assumes that the oldest…

Q: Beginning inventory, purchases, and sales for Item Zeta9 are as follows: Oct. 1 Inventory 7 Sale 42…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Paul Company uses its periodic inventory system and you are given the following information:…

A: Calculate cost of goods sold:

Q: Simple Plan Enterprises uses a periodic inventory system. Its records showed the following:…

A: Inventory turnover ratio=Cost of Goods Available for SaleAverage Inventory

Q: The inventory data for an item for November are: Nov. 1 Inventory 20 units at $19 4 Sale 10 units 10…

A: Formulas:

Q: Beginning inventory, purchases, and sales for WCS12 are as follows: Oct. 1   Inventory 330 units at…

A: Weighted Average Perpetual Date Goods Purchased Cost of goods sold Ending Inventory   Units Cost…

Q: Using a perpetual system, what is the cost of merchandise sold for November if the company uses…

A: Cost of merchandise sold is shown below as per LIFO method : For the purpose of computation of cost…

Q: *P6-12A You are given the following information about Meesha Novelty's inventory for the month of…

A: Honor Code: Since you have posted a question with multiple sub-parts, we will solve the first three…

Q: Chocolate Inc. uses a perpetual inventory system and uses the FIFO cost flow assumption. Calculate…

A: FIFO: FIFO stands for First-In, First-Out. As its name suggest, this method assumes that the oldest…

Q: The inventory data for an item for November are: Nov.  01 Inventory 20 units at $25          04…

A: LIFO: LIFO stands for Last-In, First-Out. In this method inventory purchased at last will be sell…

Q: With the perpetual inventory system, which of the following entries would be made when inventory…

A: Cost of goods sold means for how much cost of goods has been sold by the business. Under perpetual…

Q: Assume that Marigold Corp. uses a periodic inventory system and has these account balances:…

A: Calculate net purchases.

Q: Simple Plan Enterprises uses a periodic inventory system. Its records showed the following:…

A: The question is based on the concept of Cost Accounting.

Q: Addison, Inc. uses a perpetual inventory system. The following is information about one inventory…

A: The last-in, first-out (LIFO) is an inventory valuation method in which it is assumed that the…

Q: The inventory data for an item for November are: Nov. 1 Inventory 18 units at $23 4 Sale 10 units 10…

A: LIFO: LIFO stands for Last-In, First-Out. As its name suggest, this method assumes that the most…

Q: Q/ Here are the inventory records for AT Co for the month of Mar. Date Account nameQuantity Unit…

A: Inventory is one of the current asset of the business reported in the balance sheet. It includes…

Q: The ABC Ltd. uses the periodic inventory system. Answer the given questions by having the below…

A: Hello I am only answering first three sub-parts as per the policy and if you want others to be…

Q: P6-5A You have the following information for Vincent Inc. for the month ended October 31, 2014.…

A: Periodic Inventory System: It is a system in which the inventory is updated in the accounting…

Q: Vaughn Department Store uses a perpetual inventory system. Data for product E2-D2 include the…

A: Inventory Valuation Methods are methods of valuation of inventory. There are three methods of…

Q: You have the following information for Coronado Inc. for the month ended June 30, 2022. Coronado…

A: Sales Transactions   Date   Units  Price  Sales Value (units x price) 10-Jun Sales 110 53 5830…

Q: Beginning inventory, purchases, and sales for Item 88-HX are as follows: Mar. 1 Inventory 96 units @…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Beginning inventory, purchases, and sales for Item XJ-56 are as follows: May 1      Beginning…

A: LIFO is last in first out inventory costing or inventory system in which units which are purchased…

Q: Beginning inventory, purchases, and sales for Item FK7 are as follows: Sep 1     inventory     115…

A: Perpetual inventory system: It is a method of inventory management that records real time…

Q: Simple Plan Enterprises uses a perlodic Inventory system. Its records showed the following:…

A: Under the FIFO inventory method, the units purchased first are sold first, while under the LIFO…

Q: Beginning inventory, purchases, and sales for Item MMM8 are as follows: November 1 Inventory 104 15…

A: LIFO: LIFO stands for Last-In, First-Out. As its name suggest, this method assumes that the most…

Q: e inventory data for an item for November are: Nov. 1   Inventory 19 units at $24 4   Sold 8 units…

A: LIFO is the last in first out that means most recent will be taken into account first.

Q: Beginning inventory, purchases, and sales for Item XJ-56 are as follows: May 1      Beginning…

A: Introduction: Ending inventory is the worth of products still available for purchase and held by a…

Q: A company reports the following beginning inventoryand purchases, and it ends the period with 30…

A: FIFO method means First in First Out. It means inventory which is purchased first will be sold…

Q: Beginning inventory, purchases, and sales for Item B901 are as follows: January 1 Inventory 36 units…

A: FIFO: FIFO stands for First-In, First-Out. As its name suggest, this method assumes that the oldest…

Q: Addison, Inc. uses a perpetual inventory system. The following is information about one inventory…

A: There are 3 methods for valuation of inventory : FIFO LIFO Weighted average price method

Q: Use FIFO in perpetual inventory system to prepare the following based on transactions 1-4 Purchases…

A: Please Step 2 for required information.

Q: Beginning inventory, purchases, and sales for Item B901 are as follows: August 1 Inventory 54 units…

A: Under FIFO method, the good purchased at first are sold first.

Q: Beginning inventory, purchases, and sales for Item 88-HX are as follows: Jan. 1 Inventory 102 units…

A: LIFO method is a method for valuation of inventory. As the name suggest in this method latest added…

Q: ddison, Inc. uses a perpetual inventory system. The following is information about one inventory…

A: A perpetual inventory system is defined as a program or system that measures the inventory of the…

Q: Date Transaction Units Cost august 1 2,000 3,000 3,600 4,800 3,800 1,600 Inventory P36.00 7 Purchase…

A: The inventory can be valued using various methods as LIFO, FIFO and weighted average method.

Q: 2. Gingerbread, Corp. presents the following information for inventory purchases and sales…

A: Cost of goods sold: Cost of goods sold is the total of all the expenses incurred by a company to…

Q: he following accounts and balances are taken from the books of Bosox Company which…

A: Cost of goods sold is the actual cost of goods that is being sold to the customers. Gross profit is…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.