reported the following information wi Roundt espect to cost of goods sold for the current year: Units Historical cost Inventory-January 1 Purchases 10,000 45,000 530,000 2,790,000 Goods available for sale Inventory - December 31 55,000 (15,000) 3,320,000 ( 945,000)

reported the following information wi Roundt espect to cost of goods sold for the current year: Units Historical cost Inventory-January 1 Purchases 10,000 45,000 530,000 2,790,000 Goods available for sale Inventory - December 31 55,000 (15,000) 3,320,000 ( 945,000)

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter12: Financial Statements, Closing Entries, And Reversing Entries

Section: Chapter Questions

Problem 3E: Identify each of the following items relating to sections of an income statement as Revenue from...

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Question

amount should be reported as realized holding gain from
A In the income statement restated to current cost, what
amount should be reported as cost of goods sold for the
respect to cost of goods sold for the current year:
the inventory sold for the current year?
Roundtree Company reported the following information with
3. In the income statement restated to current cost, what
Units
Historical cost
Inventory- January 1
Purchases
10,000
45,000
530,000
2,790,000
Goods available for sale
Inventory - December 31
55,000
(15,000)
3,320,000
( 945,000)
40,000
2,375,000
Cost of goods sold
The current cost per unit of inventory was P58 on January 1
and P72 on December 31.
1 In the statement of financial position restated to current
cost, what amount should be reported as inventory on
December 31?
a. 1,080,000
b. 2,880,000
975,000
C.
d. 870,000
4 What amount should be reported as unrealized holding
gain on inventory for the current year?
a. 210,000
b. 135,000
C. 560,000
d.
current year?
a. 2,320,000
b. 2,880,000
C. 2,600,000
d.
2,375,000
a 225,000
b. 135,000
C. 350,000
d. 505,000

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