Homework Help is Here – Start Your Trial Now!
Business
Accounting
Compute the cost of goods sold, ending inventory, gross profit, income tax expense and net income assuming: FIFO cost flow LIFO cost flow Weighted-average cost flow

Compute the cost of goods sold, ending inventory, gross profit, income tax expense and net income assuming: FIFO cost flow LIFO cost flow Weighted-average cost flow

Corporate Financial Accounting
Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter6: Inventories
Section: Chapter Questions
Problem 6.5BE: Periodic inventory using FIFO, UFO, and weighted average cost methods The units of an item available...
See similar textbooks
icon
Related questions
Question

Please answer all or leave answer with all work

 

 

The accounting records of Allen Insulation, Inc. reflected the following balances as of January 1, 20x0:

Beginning Inventory: $190 units @ $120

The following transactions occurred in 20X0:

January 30th Purchase (cash): 230 units @ $124

March 12th Purchase (cash): 180 units @$128

June 3rd Sale (cash): 350 units @$320

Paid $24,000 of operating expenses.

Paid cash for income tax at the rate of 40 percent of income before tax.


Compute the cost of goods sold, ending inventory, gross profit, income tax expense and net income assuming:

FIFO cost flow

LIFO cost flow

Weighted-average cost flow

RAW DATA:

 
 
Beginning Inventory 30-Jan purchase 12-Mar purchase Total Sales Ending Inventory (In Units) Tax Rate 40% Units Units Per unit cost Total Cost 190 S 230 S 180 S 120.00 S 124.00 S 128.00 $ 22,800.00 28,520.00 23,040.00 Per Unit Price Total Sales 350 S 320.00 S 112,000.00 FIFO Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Per unit cost Total Cost Total Cost $24,000.00 LIFO Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Per unit cost Total Cost Total Cost $24,000.00
Transcribed Image Text:Beginning Inventory 30-Jan purchase 12-Mar purchase Total Sales Ending Inventory (In Units) Tax Rate 40% Units Units Per unit cost Total Cost 190 S 230 S 180 S 120.00 S 124.00 S 128.00 $ 22,800.00 28,520.00 23,040.00 Per Unit Price Total Sales 350 S 320.00 S 112,000.00 FIFO Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Per unit cost Total Cost Total Cost $24,000.00 LIFO Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Per unit cost Total Cost Total Cost $24,000.00
Weighted Average Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Average Cost Total Cost Total Cost $24,000.00 Summary Sales (S) Cost of Goods Sold (S) Gross Profit (S) Net Income (S) FIFO LIFO Weighted Average
Transcribed Image Text:Weighted Average Ending Inventory Goods Available for Sale Deduct ending Inventory Cost of Goods Sold Sales Cost of Goods Sold Gross Profit Operating Expense Operating Income before tax Income Tax Net Income Tax Rate Units Average Cost Total Cost Total Cost $24,000.00 Summary Sales (S) Cost of Goods Sold (S) Gross Profit (S) Net Income (S) FIFO LIFO Weighted Average
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Financial Reporting in Hyperinflationary Economies
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.
Similar questions
Recommended textbooks for you
Corporate Financial Accounting
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Quickbooks Online Accounting
Quickbooks Online Accounting
Accounting
ISBN:
9780357391693
Author:
Owen
Publisher:
Cengage
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Financial Accounting: The Impact on Decision Make…
Financial Accounting: The Impact on Decision Make…
Accounting
ISBN:
9781305654174
Author:
Gary A. Porter, Curtis L. Norton
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS