Requlred Information [The following Information applles to the questions displayed below.] Altra Corporation provides the following Information related to Its merchandise Inventory during the month of August 2021: Aug.1 Inventory on hand-2,500 units; cost $6.60 each. 8 Purchased 12,500 units for $6.00 each. 14 Sold 10,0ee units for $12.5e each. 18 Purchased 7,500 units for $5.20 each. 25 sold 9,00e units for $11.5e each. 28 Purchased 4,500 units for $5.se each. 31 Inventory on hand-8, e00 units. Requlred: 1. Using calculations based on a perpetual Inventory system, determine the Inventory balance Altira would report In Its August 31, 2021, balance sheet and the cost of goods sold It would report In Its August 2021 Income statement using the FIFO method. Cost of Goods Available for Sale Cost of Goods Sold - August 14 Cost of Goods Sold - August 25 Inventory Balance Perpetual FIFO: Cost of Goods unit Available for Sale # of units sold Cost of Goods Sold Cost of Goods Sold Goods Sold # of units Cost per in inventory Total Cost of # of units Cost per Cost per unit # of units Cost per sold Ending Inventory unit unit Beg. Inventory 2,500 $ 6.60 s 16,500 6.60 s 6.60 S 6.60 Purchases: August 8 12,500 6.00 75,000 6.00 6.00 6.00 August 18 7,500 5.20 39,000 5.20 5.20 5.20 August 28 4,500 5.80 26, 100 5.80 5.80 5.80 Total 27,000 $ 156,600
Requlred Information [The following Information applles to the questions displayed below.] Altra Corporation provides the following Information related to Its merchandise Inventory during the month of August 2021: Aug.1 Inventory on hand-2,500 units; cost $6.60 each. 8 Purchased 12,500 units for $6.00 each. 14 Sold 10,0ee units for $12.5e each. 18 Purchased 7,500 units for $5.20 each. 25 sold 9,00e units for $11.5e each. 28 Purchased 4,500 units for $5.se each. 31 Inventory on hand-8, e00 units. Requlred: 1. Using calculations based on a perpetual Inventory system, determine the Inventory balance Altira would report In Its August 31, 2021, balance sheet and the cost of goods sold It would report In Its August 2021 Income statement using the FIFO method. Cost of Goods Available for Sale Cost of Goods Sold - August 14 Cost of Goods Sold - August 25 Inventory Balance Perpetual FIFO: Cost of Goods unit Available for Sale # of units sold Cost of Goods Sold Cost of Goods Sold Goods Sold # of units Cost per in inventory Total Cost of # of units Cost per Cost per unit # of units Cost per sold Ending Inventory unit unit Beg. Inventory 2,500 $ 6.60 s 16,500 6.60 s 6.60 S 6.60 Purchases: August 8 12,500 6.00 75,000 6.00 6.00 6.00 August 18 7,500 5.20 39,000 5.20 5.20 5.20 August 28 4,500 5.80 26, 100 5.80 5.80 5.80 Total 27,000 $ 156,600
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter5: Accounting For Retail Businesses
Section: Chapter Questions
Problem 41E: Cost of goods sold and related items The following data were extracted from the accounting records...
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![Requlred Information
[The following Information applies to the questions displayed below.]
Altira Corporation provides the following Information related to Its merchandise Inventory during the month of August
2021:
Aug.1 Inventory on hand-2,500 units; cost $6.60 each.
8 Purchased 12,500 units for $6.00 each.
14 Sold 10,000 units for $12.50 each.
18 Purchased 7,500 units for $5.20 each.
25 Sold 9,00e units for $11.50 each.
28 Purchased 4,500 units for $5.80 each.
31 Inventory on hand-8,000 units.
Requlred:
1. Using calculations based on a perpetual Inventory system, determine the Inventory balance Altira would report In Its August 31, 2021,
balance sheet and the cost of goods sold It would report In Its August 2021 Income statement using the FIFO method.
Cost of Goods Available for Sale Cost of Goods Sold - August 14
Cost of Goods Sold - August 25
Inventory Balance
Cost of
Goods
Available for
Sale
Perpetual FIFO:
# of
units
sold
# of units
# of units
Cost per
unit
Cost per
unit
Cost of
Goods Sold
Cost per
unit
Cost of
Goods Sold
Total Cost of
Goods Sold
Cost per
unit
Ending
Inventory
# of units
in
sold
inventory
Beg. Inventory
2,500 $ 6.6o s
16,500
6.60 S
6.60 s
6.60
Purchases:
August 8
12,500
6.00
75,000
6.00
6.00
6.00
August 18
7,500
5.20
39,000
5.20
5.20
5.20
August 28
4,500
5.80
26,100
5.80
5.80
5.80
Total
27,000
156,600](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3cadaab7-0242-405d-ab75-d1a15c225b30%2F31531417-e6f7-485c-932d-1104568c5136%2F2cu1mls_processed.png&w=3840&q=75)
Transcribed Image Text:Requlred Information
[The following Information applies to the questions displayed below.]
Altira Corporation provides the following Information related to Its merchandise Inventory during the month of August
2021:
Aug.1 Inventory on hand-2,500 units; cost $6.60 each.
8 Purchased 12,500 units for $6.00 each.
14 Sold 10,000 units for $12.50 each.
18 Purchased 7,500 units for $5.20 each.
25 Sold 9,00e units for $11.50 each.
28 Purchased 4,500 units for $5.80 each.
31 Inventory on hand-8,000 units.
Requlred:
1. Using calculations based on a perpetual Inventory system, determine the Inventory balance Altira would report In Its August 31, 2021,
balance sheet and the cost of goods sold It would report In Its August 2021 Income statement using the FIFO method.
Cost of Goods Available for Sale Cost of Goods Sold - August 14
Cost of Goods Sold - August 25
Inventory Balance
Cost of
Goods
Available for
Sale
Perpetual FIFO:
# of
units
sold
# of units
# of units
Cost per
unit
Cost per
unit
Cost of
Goods Sold
Cost per
unit
Cost of
Goods Sold
Total Cost of
Goods Sold
Cost per
unit
Ending
Inventory
# of units
in
sold
inventory
Beg. Inventory
2,500 $ 6.6o s
16,500
6.60 S
6.60 s
6.60
Purchases:
August 8
12,500
6.00
75,000
6.00
6.00
6.00
August 18
7,500
5.20
39,000
5.20
5.20
5.20
August 28
4,500
5.80
26,100
5.80
5.80
5.80
Total
27,000
156,600
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