Below are the merchandise transactions of Yellow Company for the month of January 2019. January 1, 2019 Beginning Inventory, 3.000 units purchased at 6TL per unit. January 5, 2019 Purchased 3,000 units at 8TL per unit. January 10, 2019 Purchased 4,000 units at 12TL per unit. January 15, 2019 Sold 8.000 units for 15TL (sale price) per unit. January 20, 2019 Purchased 2.000 units at 13TL per unit January 25, 2019 Sold 3.000 units for 17TL (sale price) per unit Required: Under Weighted Average Costing Method a) Journalize the Transactions by preparing and Inventory Card. b) Calculate Gross P/L and Cost of Ending Inventory. Could you please explain clearly?

Q: During 2021, a company sells 374 units of inventory for $94 each. The company has the following…

A: Under LIFO Method, cost of goods sold and value of ending inventory is calculated on the assumption…

Q: Below are the merchandise transactions of Yellow Company for the month of January        2019.…

A: Sales Jan,10,2019 8000 15 120000   Jan,25,2019 3000 17 51000     11000   171000

Q: Zeller Company sells gadgets and uses the perpetual inventory system. During the month of January…

A: Inventory Valuation Methods are used to determine the cost of goods sold and the cost of ending…

Q: During 2021, a company sells 374 units of inventory for $95 each. The company has the following…

A: Last- in-First-out(LIFO) is one of the method to know the records of the inventory accounts which…

Q: Alfa INC began January 2021 with 20 units of iron inventory that cost 15 euro each. During January,…

A: In FIFO method , The inventory bought first are sold first. In LIFO method , the inventory bought…

Q: Required: 1. Calculate the number and total cost of the units available for sale during 2020. 2.…

A: Solution:- Given, Synergy Company began 2020 with 23,500 units of Product X in its inventory that…

Q: At May 1, 2020, Marigold Company had beginning inventory consisting of 160 units with a unit cost of…

A: Inventory is the current assets represents under the head current asset in the balance sheet of the…

Q: Green Company has beginning inventory of 20 units at a cost of $12.00 each on May 1. On May 5, it…

A: FIFO: FIFO stands for First-In, First-Out.  In this method inventory purchased first will be sell…

Q: During 2021, a company sells 260 units of inventory for $91 each. The company has the following…

A: FIFO (FIRST IN FIRST OUT METHOD) GOODS WHICH ARE PURCHASED FIRST ARE SOLD FIRST .

Q: Altira Corporation provides the following information related to its merchandise inventory during…

A: >Under perpetual system of inventory, the records for Cost of Goods Sold are updated after each…

Q: Indigo Corporation began operations on January 1, 2020, with a beginning inventory of $39,940 at…

A: The retail inventory method is used to calculate the cost of the store’s merchandise. Using this…

Q: On January 1, 2020, the merchandise inventory of Shoesmith Corp. was $600,000. During 2020,…

A: Sales Revenue in the business is made up of cost of goods sold and gross profit.  Sales Revenue =…

Q: The records of Earthly Goods provided the following Information for the year ended December 31,…

A: The closing inventory represents the value of inventory that remains at the end of accounting…

Q: John had 150 units in inventory costing $5,700 on December 1st, 2020. During the month of December,…

A: Weighted average unit price on Dec. 18, 2020 = (Cost of beginning inventory + Cost of Purchase) /…

Q: following transactions for Product B during the fiscal year ended on December 31, 2020. Date…

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

Q: The following are information about purchases and sales for main product of AMEER Inc. for year…

A: Weighted average cost = cost of all the units / number of units

Q: During 2021, a company sells 365 units of inventory for $93 each. The company has the following…

A: LIFO method: The LIFO strategy works under the presumption that the last item of stock acquired, is…

Q: Below are the merchandise transactions of Yellow Company for the month of January 2019. January 1,…

A: Weighted average method is used to find the cost of goods by dividing total cost with number of…

Q: Muscat Company uses the periodic .24 inventory system to account for inventories. Information…

A: Total units available for sale = Beginning inventory + Purchase on 1/15/2020 + Purchase on 1/28/2020…

Q: Muscat Company uses the periodic inventory system to account for inventories. Information related to…

A: Units sold=Opening units+Purchase-Ending units=200+100+100-120=280 units

Q: During 2021, a company sells 379 units of inventory for $92 each. The company has the following…

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

Q: Altira Corporation provides the following Information related to Its merchandise Inventory during…

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

Q: . The inventory at January 1, 2019, had a retail value of $39,000 and a cost of $31,130 based on the…

A: Solution: Raleigh Department Store LIFO Retail Method   Cost   Retail Cost to Retail ratio…

Q: Sunshine Snacks uses the conventional retail inventory method to estimate its inventory cost.…

A: Cost to retail ratio = ($16,90,000 / $24,80,000) x 100 = 68%

Q: During 2021, a company sells 310 units of inventory for $92 each. The company has the following…

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

Q: Altira Corporation provides the following Information related to its merchandise Inventory during…

A: >Cost flow from units purchased to Cost of goods sold can be done using either of the 4 methods:…

Q: Muscat Company uses the periodic inventory system to account for inventories. Information related to…

A: Under FIFO periodic system of accounting for Inventory, Inventory purchased first is issued first…

Q: Sawyer Company was formed on December 1, 2020. The following information is available from Sawyer's…

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

Q: Port Corporation sells item X-100. Purchases, sales and costs of item X-100 for the last quarter of…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: The inventory records of Mod Oil Company for January 2020 showed the following data for an item of…

A: Perpetual inventory system: Under this inventory system, the records of inventory are continuously…

Q: The DJ company uses a periodic inventory system. The beginning balance of inventory and purchases…

A: Introduction  Inventory may be defined as the stock of goods ready to be sold at a particular point…

Q: Muscat Company uses the periodic inventory system to account for inventories. Information related to…

A: FIFO METHOD It is an accounting method for valuation of assets. Under FIFO method , inventory of…

Q: pany had the following transactions: Beginning inventory, 200 at P5 per unit; purchased on January…

A: Solution: Introduction: Inventory Valuation Methods are generally used to determine the Cost of…

Q: Givens Company uses a periodic inventory system.Its records show the following for the month of…

A: The Numerical has covered the concept of First in First out method and Weighted Average Method of…

Q: Practice Question. Below are the merchandise transactions of Yellow Company for the month of January…

A: Under Weighted Average Costing Method, the average cost is calculated for each unit. The unit price…

Q: During 2021, a company sells 340 units of inventory for $90 each. The company has the following…

A: Ending inventory (units) = Total units available for sale - no. of units sold = 418 - 340 = 78 units

Q: Also  prepare journal entries to record he December 20 purchase and the December  29 sales using…

A: The perpetual inventory method and periodic inventory method are the methods used to count the…

Q: The records of Earthly Goods provided the following information for the year ended December 31,…

A: Closing inventory represents the inventory that remains at the end of the accounting period.

Q: XYZ Company Began the year 2020 with 600 units of products in its January 1 Inventory costing BD35…

A: Date Description units cost per unit Total Cost 1Jan Opening Inventory 600 35 600*35=2100 4Jan…

Q: Below are the merchandise transactions of Yellow Company for the month of January 2019. January 1,…

A: Perpetual inventory system: Under this inventory system, the records of inventory are continuously…

Q: Jane company uses a periodic inventory system. its records show the following information for the…

A: In the absence of any information, assumed FIFO method is used for valuation for inventory

Q: The records of Earthly Goods provided the following Information for the year ended December 31,…

A: Year end inventory means cost of ending inventory which is left at the end of the period.

Q: Atlis Company sells on product which it purchases from various suppliers. The trial balance on…

A: Inventory on Jan 1                       20,000 Inventory on March 31                 30,000…

Q: Sunshine Snacks uses the conventional retail inventory method to estimate its inventory cost.…

A: Ending inventory is the amount of goods or products that are held by an entity at the end of the…

Q: Shania Twain Company was formed on December 1, 2019. The following information is available from…

A: Required a. Prepare schedules to compute the ending inventory on March 31, 2020, using the FIFO…

Q: During 2021, a company sells 280 units of inventory for $86 each. The company has the following…

A: Ans. In FIFO method the goods which was purchased first was sold first.   FIFO stands for " First -…

Q: During 2021, a company sells 356 units of inventory for $93 each. The company has the following…

A: The LIFO method states that the goods purchased at last are sold first.

Q: Muscat Company uses the periodic inventory system to account for inventories. Information related to…

A: Periodic Inventory System:- This is the inventory system where entries get updated on a periodic…

Q: The following are information about purchases and sales for main product of AMEER Inc. for year…

A: What is the Weighted Average Costing Method? When using the weighted average method, divide the cost…

Q: Using the following data taken from Hsu’s Imports Inc., prepare Statement of cost of goods sold and…

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

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.