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Givenchy Inc. sells electric stoves. It uses the perpetual inventory system and allocates cost to inventory on a first-in, first-out basis. The company's reporting date is December 31. At December 1, 2020, inventory on hand consisted of 350 stoves at P820 each and 43 stoves at P850 each. During the month ended December 31, 2020, the following inventory transactions occurred (all purchase and sales transactions are on credit): 2020 Dec. |Sold 300 stoves for P1,200 each. All stoves were from 820 cost each. Five stoves were returned by customers. They had originally cost P820 each and were sold for P1,200 each. 3 Purchased 55 stoves at P910 each. 10 Purchased 76 stoves at P960 each. 15 Sold 86 Stoves for P1,350 each. 17 Returned one damaged stove to supplier purchased on Dec. 9. Sold 60 stoves for P1,250 each. 22

Givenchy Inc. sells electric stoves. It uses the perpetual inventory system and allocates cost to inventory on a first-in, first-out basis. The company's reporting date is December 31. At December 1, 2020, inventory on hand consisted of 350 stoves at P820 each and 43 stoves at P850 each. During the month ended December 31, 2020, the following inventory transactions occurred (all purchase and sales transactions are on credit): 2020 Dec. |Sold 300 stoves for P1,200 each. All stoves were from 820 cost each. Five stoves were returned by customers. They had originally cost P820 each and were sold for P1,200 each. 3 Purchased 55 stoves at P910 each. 10 Purchased 76 stoves at P960 each. 15 Sold 86 Stoves for P1,350 each. 17 Returned one damaged stove to supplier purchased on Dec. 9. Sold 60 stoves for P1,250 each. 22

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter7: Inventories: Cost Measurement And Flow Assumptions
Section: Chapter Questions
Problem 11RE: Jessie Stores uses the periodic system of calculating inventory. The following information is...
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Givenchy Inc. sells electric stoves. It uses the perpetual inventory system and allocates cost to inventory on a first-in, first-out basis. The company's reporting date is December 31. At December 1, 2020, inventory on hand consisted of 350 stoves at P820 each and 43 stoves at P850 each. During the month ended December 31, 2020, the following inventory transactions occurred (all purchase and sales transactions are on credit): 2020 Dec. Sold 300 stoves for P1,200 each. All stoves were from 820 cost each. Five stoves were returned by customers. They had originally cost P820 3 each and were sold for P1,200 each. Purchased 55 stoves at P910 each. 10 Purchased 76 stoves at P960 each. 15 Sold 86 Stoves for P1,350 each. 17 Returned one damaged stove to supplier purchased on Dec. 9. 22 Sold 60 stoves for P1,250 each. 26 Purchased 72 stoves at P980 each Requirement: a. Journalize the above transaction. b. What is the FIFO cost of Givenchy's inventory on Dec. 31, 2020? c. What is the cost of goods sold in Dec. 2020?
Transcribed Image Text:Givenchy Inc. sells electric stoves. It uses the perpetual inventory system and allocates cost to inventory on a first-in, first-out basis. The company's reporting date is December 31. At December 1, 2020, inventory on hand consisted of 350 stoves at P820 each and 43 stoves at P850 each. During the month ended December 31, 2020, the following inventory transactions occurred (all purchase and sales transactions are on credit): 2020 Dec. Sold 300 stoves for P1,200 each. All stoves were from 820 cost each. Five stoves were returned by customers. They had originally cost P820 3 each and were sold for P1,200 each. Purchased 55 stoves at P910 each. 10 Purchased 76 stoves at P960 each. 15 Sold 86 Stoves for P1,350 each. 17 Returned one damaged stove to supplier purchased on Dec. 9. 22 Sold 60 stoves for P1,250 each. 26 Purchased 72 stoves at P980 each Requirement: a. Journalize the above transaction. b. What is the FIFO cost of Givenchy's inventory on Dec. 31, 2020? c. What is the cost of goods sold in Dec. 2020?
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