Sunland Company uses a periodic inventory system. For October, when the company sold 1,730 units, the following information is available. Units Unit Cost Total Cost October 1 inventory 600 $ 18 $ 10,800 October 8 purchase 1,200 19 22,800 October 25 purchase 600 22 13,200 2,400 $ 46,800 Compute the October 31 inventory and the October cost of goods sold using the FIFO method. Ending inventory 2$ Cost of goods sold 2$

Sunland Company uses a periodic inventory system. For October, when the company sold 1,730 units, the following information is available. Units Unit Cost Total Cost October 1 inventory 600 $ 18 $ 10,800 October 8 purchase 1,200 19 22,800 October 25 purchase 600 22 13,200 2,400 $ 46,800 Compute the October 31 inventory and the October cost of goods sold using the FIFO method. Ending inventory 2$ Cost of goods sold 2$

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter11: Work Sheet And Adjusting Entries

Section: Chapter Questions

Problem 3E: Basga Company uses the periodic inventory system. Beginning inventory amounted to 241,072. A...

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Jessie Stores uses the periodic system of calculating inventory. The following information is available for December of the current year when Jessie sold 500 units of inventory. Using the FIFO method, calculate Jessies inventory on December 31 and its cost of goods sold for December. RE7-11 Using the information from RE7-10, calculate Jessie Storess inventory on December 31 and its cost of goods sold for December using the LIFO method.
Carla Company uses the perpetual inventory system. The following information is available for January of the current year when Carla sold 1,600 units of inventory on January 14. Using the FIFO method, calculate Carlas cost of goods sold for January and its January 31 inventory.
Jessie Stores uses the periodic system of calculating inventory. The following information is available for December of the current year when Jessie sold 500 units of inventory. Using the FIFO method, calculate Jessies inventory on December 31 and its cost of goods sold for December.
Pappas Appliances uses the periodic inventory system. Details regarding the inventory of appliances at January 1, purchases invoices during the year, and the inventory count at December 31 are summarized as follows: Instructions 1. Determine the cost of the inventory on December 31 by the first-in, first-out method. Present data in columnar form, using the following headings: If the inventory of a particular model comprises one entire purchase plus a portion of another purchase acquired at a different unit cost, use a separate line for each purchase. 2. Determine the cost of the inventory on December 31 by the last-in, first-out method, following the procedures indicated in (1). 3. Determine the cost of the inventory on December 31 by the weighted average cost method, using the columnar headings indicated in (1). 4. Discuss which method (FIFO or LIFO) would be preferred for income tax purposes in periods of (a) rising prices and (b) declining prices.
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