Listed below is the inventory, purchases and sales for the month of July 2021: Units RM per unit Inventory Purchases 48 20 52 24 Sales 72 40 Purchases 36 30 Sales 40 50 Required: (a) Compute cost of goods sold and inventory on hand by using average-cost method. Show both for perpetual and periodic inventory system (round to 2 decimal places). (b) Freight on board (FOB) is a designation that is used to indicate when liability and ownership of goods is transferred from a seller to a buyer. What is the difference between FOB shipping point and FOB destination?
Listed below is the inventory, purchases and sales for the month of July 2021: Units RM per unit Inventory Purchases 48 20 52 24 Sales 72 40 Purchases 36 30 Sales 40 50 Required: (a) Compute cost of goods sold and inventory on hand by using average-cost method. Show both for perpetual and periodic inventory system (round to 2 decimal places). (b) Freight on board (FOB) is a designation that is used to indicate when liability and ownership of goods is transferred from a seller to a buyer. What is the difference between FOB shipping point and FOB destination?
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter6: Inventories
Section: Chapter Questions
Problem 4BE: Beginning inventory, purchases, and sales for WCS12 are as follows: Assuming a perpetual inventory...
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