At August 1 of the current year, there are 4,000 units at P15.10 each of merchandise inventory. During August, the following transactions occurred: August 2, purchased 5,000 units at P15.15 each; August 5, sold 4,000 units; August 8, sold 2,600 units; August 12, purchased 6,000 units at P15.20 each; August 16, sold 4,200 units; August 20, sold 3,800 units; August 24, purchased 6,000 units at P15.25 each; August 28, sold 2,200 units; and August 31, sold 3,600 units. Which of the following statements is correct? a.The goods available for sale using FIFO under periodic inventory system is the same as moving average under perpetual inventory system.. b.The goods available for sale using FIFO is greater under the perpetual inventory system than under the periodic inventory system. c.The goods available for sale using FIFO is greater under the periodic inventory system than under the perpetual inventory system. d.The goods available for sale in FIFO under perpetual inventory system is greater than in weighted average under perpetual inventory system.
At August 1 of the current year, there are 4,000 units at P15.10 each of merchandise inventory. During August, the following transactions occurred: August 2, purchased 5,000 units at P15.15 each; August 5, sold 4,000 units; August 8, sold 2,600 units; August 12, purchased 6,000 units at P15.20 each; August 16, sold 4,200 units; August 20, sold 3,800 units; August 24, purchased 6,000 units at P15.25 each; August 28, sold 2,200 units; and August 31, sold 3,600 units. Which of the following statements is correct? a.The goods available for sale using FIFO under periodic inventory system is the same as moving average under perpetual inventory system.. b.The goods available for sale using FIFO is greater under the perpetual inventory system than under the periodic inventory system. c.The goods available for sale using FIFO is greater under the periodic inventory system than under the perpetual inventory system. d.The goods available for sale in FIFO under perpetual inventory system is greater than in weighted average under perpetual inventory system.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter5: Accounting For Retail Businesses
Section: Chapter Questions
Problem 41E: Cost of goods sold and related items The following data were extracted from the accounting records...
Related questions
Question
100%
At August 1 of the current year, there are 4,000 units at P15.10 each of merchandise inventory. During August, the following transactions occurred: August 2, purchased 5,000 units at P15.15 each; August 5, sold 4,000 units; August 8, sold 2,600 units; August 12, purchased 6,000 units at P15.20 each; August 16, sold 4,200 units; August 20, sold 3,800 units; August 24, purchased 6,000 units at P15.25 each; August 28, sold 2,200 units; and August 31, sold 3,600 units. Which of the following statements is correct?
a.The goods available for sale using FIFO under periodic inventory system is the same as moving average under perpetual inventory system..
b.The goods available for sale using FIFO is greater under the perpetual inventory system than under the periodic inventory system.
c.The goods available for sale using FIFO is greater under the periodic inventory system than under the perpetual inventory system.
d.The goods available for sale in FIFO under perpetual inventory system is greater than in weighted average under perpetual inventory system.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
