Consider the following transactions for A67 Company for the month shown in chronological order: # of units Unit cost Sales Beginning Inventory 800 $50 Purchased 600 $52 Sold 400 $80 Sold 350 $90 Ending Inventory 650 In the table below, calculate the dollar value for the period for each of the following items using the listed cost allocation methods and using perpetual inventory updating. PLEASE NOTE: All dollar amounts will be rounded to whole dollars using "$" with commas as needed (i.e. $12,345), except for the Weighted Average cost per unit, which will be rounded to two decimal places and include "$". Weighted average cost per unit = per unit. Cost Allocation Method Cost of Goods Available Cost of Goods Sold Ending Inventory Sales Gross Margin First-in, First-out (FIFO) Last-in, First-out (LIFO) Weighted Average (AVG)
Consider the following transactions for A67 Company for the month shown in chronological order: # of units Unit cost Sales Beginning Inventory 800 $50 Purchased 600 $52 Sold 400 $80 Sold 350 $90 Ending Inventory 650 In the table below, calculate the dollar value for the period for each of the following items using the listed cost allocation methods and using perpetual inventory updating. PLEASE NOTE: All dollar amounts will be rounded to whole dollars using "$" with commas as needed (i.e. $12,345), except for the Weighted Average cost per unit, which will be rounded to two decimal places and include "$". Weighted average cost per unit = per unit. Cost Allocation Method Cost of Goods Available Cost of Goods Sold Ending Inventory Sales Gross Margin First-in, First-out (FIFO) Last-in, First-out (LIFO) Weighted Average (AVG)
Chapter10: Inventory
Section: Chapter Questions
Problem 5EA: Akira Company had the following transactions for the month. Calculate the ending inventory dollar...
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Consider the following transactions for A67 Company for the month shown in chronological order:
| # of units | Unit cost | Sales | |
| Beginning Inventory | 800 | $50 | |
| Purchased | 600 | $52 | |
| Sold | 400 | $80 | |
| Sold | 350 | $90 | |
| Ending Inventory | 650 |
In the table below, calculate the dollar value for the period for each of the following items using the listed cost allocation methods and using perpetual inventory updating.
PLEASE NOTE: All dollar amounts will be rounded to whole dollars using "$" with commas as needed (i.e. $12,345), except for the Weighted Average cost per unit, which will be rounded to two decimal places and include "$".
Weighted average cost per unit = per unit.
| Cost Allocation Method | Cost of Goods Available | Cost of Goods Sold |
Ending Inventory |
Sales |
Gross Margin |
|
First-in, First-out (FIFO) |
|||||
|
Last-in, First-out (LIFO) |
|||||
|
Weighted Average (AVG) |
Expert Solution
Working:
| # of units | Unit cost | Total | |
| Beginning Inventory | 800 | $50 | $40,000 |
| Purchased | 600 | $52 | $31,200 |
| 1,400 | |||
| Cost of Goods Available | $71,200 | ||
| # of units | Sales per unit | Total sales | |
| Sold | 400 | $80 | $32,000 |
| Sold | 350 | $90 | $31,500 |
| Total sales | 750 | $63,500 |
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