Glasgow Corporation has the following inventory transactions during the year.UnitNumber of Units53133Cost$ 4547Total Cost$ 2,3856,25110,1505,763DateTransactionJan. 1 Beginning inventoryPurchasePurchasePurchaseApr. 7Jul.1620350Oct. 611351502$24,549For the entire year, the company sells 433 units of inventory for $63 each. ezto.mheducation.com/ext/map/index.html?_con%3Dcon&external_browser30&launchUrl%3Dhttps%253A%252F%252Felearning.uh.edu%252Fwebapps%252Fportal%252FtData Structures Flas...C Checkout for Chegg Study Che X +HW 6- Connect265515849ie Redeeming Charles...O Book Companion Si..SavedE Michael Schneid...W 6 6Check my work mode : This shows what is correct or incorrect for the work you have completed6,25110,1505,76313347Apr. 7 PurchaseJul.16 Purchase2031135051Oct. 6 Purchase$24,549502ert 1 of 4For the entire year, the company sells 433 units of inventory for $63 each.Required:1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.aintsX Answer is complete but not entirely correct.Cost of Goods Available forSaleEnding InventoryFIFOCost of Goods SoldCostperunitCost ofGoodsAvailablefor SaleCostperunitCost ofGoodsSoldCostperunit# ofunits# ofunits# ofunitsEndingInventoryBeginningInventoryPurchases53S 45 O S2,38553$ 45$ 2,38553 XS 452,385Apr. 7133476,251133S 476,251133 S 476,251Jul.162035010,150203S 5010,150203 S 5010,150Oct 644512,24444S 51Total2,24444 S 512,244433$ 21,030433$ 22,305 X433X2,244 XAnswer is complete but not entirely correct.Salesrevenue$27,279Gross profit$ 4,974 XMcGrawHill< Prev2 34 5of 11NextAMDAFreeSyng%24

Solution Concept Under FIFO method the goods purchased first is sold first cost of goods sold…

Required: 1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. X Answer is complete but not entirely correct. Cost of Goods Available for FIFO Cost of Goods Sold Ending Inventory Sale Cost of Goods Available for Sale Cost Cost Cost of Goods Sold Cost # of units per unit # of units per unit # of units per unit Ending Inventory Beginning Inventory 53 S 45 OS 2,385 53 O Is 45 S 2,385 53 X S 45 IS 2,385 Purchases Apr. 7 Jul. 16 133 OS 47 6,251 133 S 47 133 X S 47 6,251 6,251 50 O 44 S 51 0 203 10,150 203 S 50 10,150 203 X S 50 Oct6 10,150 2,244 44 s 51 2,244 44 X $ 51 Total 433 S 21,030 2,244 433 $ 22,305 X 433 X 24 2,244 X

Required: 1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. X Answer is complete but not entirely correct. Cost of Goods Available for FIFO Cost of Goods Sold Ending Inventory Sale Cost of Goods Available for Sale Cost Cost Cost of Goods Sold Cost # of units per unit # of units per unit # of units per unit Ending Inventory Beginning Inventory 53 S 45 OS 2,385 53 O Is 45 S 2,385 53 X S 45 IS 2,385 Purchases Apr. 7 Jul. 16 133 OS 47 6,251 133 S 47 133 X S 47 6,251 6,251 50 O 44 S 51 0 203 10,150 203 S 50 10,150 203 X S 50 Oct6 10,150 2,244 44 s 51 2,244 44 X $ 51 Total 433 S 21,030 2,244 433 $ 22,305 X 433 X 24 2,244 X

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

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 3RE: Shaquille Corporation began the current year with inventory of 50,000. During the year, its...

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Reid Company uses the periodic inventory system. On January 1, it had an inventory balance of 250,000. During the year, it made 613,000 of net purchases. At the end of the year, a physical inventory showed it had ending inventory of 140,000. Calculate Reid Companys cost of goods sold for the year.
Hurst Companys beginning inventory and purchases during the fiscal year ended December 31, 20-2, were as follows: There are 1,200 units of inventory on hand on December 31, 20-2. REQUIRED 1. Calculate the total amount to be assigned to the cost of goods sold for 20-2 and ending inventory on December 31 under each of the following periodic inventory methods: (a) FIFO (b) LIFO (c) Weighted-average (round calculations to two decimal places) 2. Assume that the market price per unit (cost to replace) of Hursts inventory on December 31 was 18. Calculate the total amount to be assigned to the ending inventory on December 31 under each of the following methods: (a) FIFO lower-of-cost-or-market (b) Weighted-average lower-of-cost-or-market 3. In addition to taking a physical inventory on December 31, Hurst decides to estimate the ending inventory and cost of goods sold. During the fiscal year ended December 31, 20-2, net sales of 100,000 were made at a normal gross profit rate of 35%. Use the gross profit method to estimate the cost of goods sold for the fiscal year ended December 31 and the inventory on December 31.
On January 1 of Year 1, Dorso Company adopted the dollar-value LIFO method of inventory costing. Dorsos December 31 ending inventory records are as follows: Year 1: Current cost, 20,000; Index, 100 Year 2: Current cost, 33,600; Index, 120 Using the dollar-value LIFO method, compute Dorsos December 31 ending inventory for Year 2.
Kulsrud Company would like to estimate the current inventory level. Using the gross profit method and the following information, estimate the current inventory level for Kulsrud Company. Goods available for sale 100,000 Net sales 150,000 Normal gross profit as a percent of sales 40%
On January 1, Pope Enterprises inventory was 625,000. Pope made 950,000 of net purchases during the year. On its year-end income statement, Pope reported cost of goods sold of 1,025,000. Calculate Popes December 31 ending inventory.
Inventory Costing Methods On June 1, Welding Products Company had a beginning inventory of 210 cases of welding rods that had been purchased for S88 per case. Welding Products purchased 1,150 cases at a cost of $95 per case on June 3. On June 19, the company purchased another 950 cases at a cost of $112 per case. Sales data for the welding rods are: Welding Products uses a perpetual inventory system, and the sales price of the welding rods was $130 per case. Required: 1. Compute the cost of ending inventory and cost of goods sold using the FIFO method. 2. Compute the cost of ending inventory and cost of goods sold using the LIFO method. 3. Compute the cost of ending inventory and cost of goods sold using the average cost method. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 4. CONCEPTUAL CONNECTION Assume that operating expenses are $21,600 and Welding Products has a 30% tax rate. How much will the cash paid for income taxes differ among the three inventory methods? 5. CONCEPTUAL CONNECTION Compute Welding Products' gross profit ratio (rounded to two decimal places) and inventory turnover ratio (rounded to three decimal places) under each of the three inventory costing methods. How would the choice of inventory costing method affect these ratios?
Shaquille Corporation began the current year with inventory of 50,000. During the year, its purchases totaled 110,000. Shaquille paid freight charges of 8,500 for those purchases. At the end of the year, Shaquille had inventory of 47,800. Prepare a schedule to determine Shaquille's cost of goods sold for the current year.
Refer to the information for Morgan Inc. above. If Morgan uses a perpetual inventory system, what is the cost of ending inventory under FIFO at April 30? a. $32,500 b. $38,400 c. $63,600 d. $69,500
Comprehensive The following information for 2019 is available for Marino Company: 1. The beginning inventory is 100,000. 2. Purchases returns of 4,000 were made. 3. Purchases of 300,000 were made on terms of 2/10, n/30. Eighty percent of the discounts were taken. 4. At December 31, purchases of 20,000 were in transit, FOB destination, on terms of 2/10, n/30. 5. The company made sales of 640,000. The gross selling price per unit is twice the net cost of each unit sold. 6. Sales allowances of 6,000 were made. 7. The company uses the LIFO periodic method and the gross method for purchase discounts. Required: 1. Compute the cost of the ending inventory before the physical inventory is taken. 2. Compute the amount of the cost of goods sold that came from the purchases of the period and the amount that came from the beginning inventory.
Assume your company uses the periodic inventory costing method, and the inventory count left out an entire warehouse of goods that were in stock at the end of the year, with a cost value of $222,000. How will this affect your net income in the current year? How will it affect next years net income?
Calculate the cost of goods sold dollar value for A67 Company for the month, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for weighted average (AVG).