calculate all part pleasedo not give solution in image format E7-9 (Algo) Analyzing and Interpreting the Financial Statement Effects of FIFO, LIFO, and WeightedAverage Cost [LO 7-3]Scoresby Incorporated 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.Transactionsa. Inventory, BeginningFor the year:b. Purchase, March 5c. Purchase, September 19.d. Sale, April 15 (sold for $65 per unit)Units4,00010,0006,0004,5009,000Unit Cost$.202123e. Sale, October 11 (sold for $68 per unit)f. Operating expenses (excluding income tax expense), $615,000Required:1. Calculate the number and cost of goods available for sale.2. 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 cost4. Prepare an income statement that shows the FIFO method, LIFO method and weighted average method.6. Which inventory costing method minimizes income taxes?

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Description: calculate all part pleasedo not give solution in image format E7-9 (Algo) Analyzing and Interpreting the Financial Statement Effects of FIFO, LIFO, and WeightedAverage Cost [LO 7-3]Scoresby Incorporated tracks the number of units purchased and sold t

Periodic inventory system is the method of inventory where the inventory is counted at year end and…

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Scoresby Incorporated tracks the number of units purchased and sold throughout each year but applies its inventory costing meth at the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following information a the end of the annual accounting period. December 31. Transactions a. Inventory, Beginning For the year: b. Purchase, March 51 Units 4,000 10,000 6,000 4,500 9,000 Unit Cost $.20 21 23 c. Purchase, September 19 d. Sale, April 15 (sold for $65 per unit) e. Sale, October 11 (sold for $68 per unit) f. Operating expenses (excluding income tax expense), $615,000 Required: 1. Calculate the number and cost of goods available for sale. 2. 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 avage cost 4. Prepare an income statement that shows the FIFO method, LIFO method and weighted average method. 6. Which inventory costing method minimizes income taxes?

Scoresby Incorporated tracks the number of units purchased and sold throughout each year but applies its inventory costing meth at the end of the year, as if it uses a periodic inventory system. Assume its accounting records provided the following information a the end of the annual accounting period. December 31. Transactions a. Inventory, Beginning For the year: b. Purchase, March 51 Units 4,000 10,000 6,000 4,500 9,000 Unit Cost $.20 21 23 c. Purchase, September 19 d. Sale, April 15 (sold for $65 per unit) e. Sale, October 11 (sold for $68 per unit) f. Operating expenses (excluding income tax expense), $615,000 Required: 1. Calculate the number and cost of goods available for sale. 2. 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 avage cost 4. Prepare an income statement that shows the FIFO method, LIFO method and weighted average method. 6. Which inventory costing method minimizes income taxes?

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter18: Accounting Periods And Methods

Section: Chapter Questions

Problem 67P

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