Use the following information for the next two questions:Thursday Co. is estimating the cost of its inventory at month-end.The accountant determined the following: 20,000 P 28,0009. How much are the ending inventory and cost of salesoter 8454CostRetail110,600160,600Inventory, January 14,000PurchasesEndFreight-InPurchase discounts1,000end10,40017,200Purchase returns2,0003,000Departmental Transfers-InDepartmental Transfers-OutMarkupsMarkup cancellations1,6002,40012,000PR4,00024,000YOMarkdownsraMarkdown cancellations6,000inAdditional information:A loss of P10,000 was recognized during the period fordamaged goods. The goods have a retail value of P14,000.• Gross sales for the period amounted to P87,600. Sales returnsand discounts amounted to P5,000 and P2,000, respectively.Employee discounts, treated as outright deduction to saleprice, amounted to P1,000.Normal of P400 was subsumed to cost of sales.spoilage8. How much are the ending inventory and cost of salesrespectively, under the average cost method?a. 46,412; 67,188b. 48,981; 64,619c. 49,126; 64,474d. 52,023; 61,5779. How much are the ending inventory and cost ofrespectively, under the FIFO method?a. 49,920; 63,680b. 47,588; 66,012c. 52,266; 61,334d. 44,927; 68,673

Inventory accounting is that the body of accounting that deals with valuing and accounting for…

Answered: its inventory at month-end.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter10: Inventory

Section: Chapter Questions

Problem 2PB: DeForest Company had the following transactions for the month. Calculate the ending inventory dollar...

See similar textbooks

Similar questions

DeForest Company had the following transactions for the month. Calculate the ending inventory dollar value for the period for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Bleistine Company had the following transactions for the month. Calculate the gross margin for the period for each of the following cost allocation methods, using periodic inventory updating. Assume that all units were sold for $50 each. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Bleistine Company had the following transactions for the month. Calculate the ending inventory dollar value for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Trini Company had the following transactions for the month. Calculate the ending inventory dollar value for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Akira Company had the following transactions for the month. Calculate the ending inventory dollar value for the period for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Akira Company had the following transactions for the month. Calculate the gross margin for the period for each of the following cost allocation methods, using periodic inventory updating. Assume that all units were sold for $25 each. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
As an accountant for Lee Company, your supervisor gave you the following calculations of the gross profit for the first quarter: Prepare schedules computing the ending inventory ( in units and dollars) and proving the cost of goods sold shown here under each of the three alternatives.
Nevens Company uses a periodic inventory system. During November, the following transactions occurred: 1. Compute the cost of goods sold for November and the inventory at the end of November for each of the following cost flow assumptions: a. FIFO b. LIFO c. Average cost 2. Next Level What can you conclude about the effects of the inventory cost flow assumptions on the financial statements?
FLCL Company had the following transactions for the month: Calculate the ending inventory dollar value for the period for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. first-in, first-out (FIFO) last-in, first-out (LIFO) weighted average
Balamb Corporation had the following transactions for the month: Calculate the ending inventory dollar value for the period for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. first-in, first-out (FIFO) last-in, first-out (LIFO) weighted average
Trini Company had the following transactions for the month. Calculate the ending inventory dollar value for each of the following cost allocation methods, using periodic inventory updating. Provide your calculations. first-in, first-out (FIFO) last-in, first-out (LIFO) weighted average (AVG)
The owner of a large machine shop has just i nished its i nancial analysis from the prior fiscal year. Following is an excerpt from the i nal report:a. Compute the inventory turnover ratio (ITR).b. Compute the weeks of supply (WS).

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS