2 Orion Iron Corporation tracks the number of units purchased and sold throughout each year but applies its inventory costing methodat the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following information atthe end of the annual accounting period, December 31,TransactionsUnits259Unit Cost$ 10a. Inventory, BeginningFor the year:b. Purchase, April 1160012e. Purchase, June 140012d. Sale, May 1 (sold for $45 per unit)250e. Sale, July 3 (sold for $45 per unit)350r. Operating expenses (excluding income tax expense), $18, 800Required:1. Calculate the number and cost of goods available for sale2. Calculate the number of units in ending inventory.3. Compute the cost of ending inventory and cost of goods sold under (a) FIFO, (b) LIFO, and (c) weighted average cost.4. Prepare an income statement that shows under the FIFO method, LIFO method and weighted average method.6. Which inventory costing method minimizes income taxes?Complete this question by entering your answers in the tabs below.Required 1 Required 2Required 3Required 4Required 6Calculate the number and cost of goods available for sale.unitsNumber of Goods Available for SaleCost of Goods Available for Sale

The question is based on the concept of Cost Accounting. As per the Bartleby guidelines we are…

Orion Iron Corporation tracks the number of units purchased and sold throughout each year but applies its inventory costing mem at the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following informatiorm the end of the annual accounting period, December 31. Transactions Units 259 Unit Cost $ 10 a. Inventory, Beginning

Orion Iron Corporation tracks the number of units purchased and sold throughout each year but applies its inventory costing mem at the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following informatiorm the end of the annual accounting period, December 31. Transactions Units 259 Unit Cost $ 10 a. Inventory, Beginning

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter7: Inventories

Section: Chapter Questions

Problem 4PB: The beginning inventory for Dunne Co. and data on purchases and sales for a three-month period are...

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