Sydney International Business College ABN No: 40 602 418 815 SIBC SIBC ETreRNATIONAL RTO No: 41182 CRICOS Provider No.: 03504G Address: Level 5, 307 Pitt Street, Sydney NSW 2000 Phone: 02 9264 4438 Email: info@sibc.nsw.edu.au Task 7: Gillam Ltd uses a perpetual inventory system. The unit cost of inventory is assigned using the First-In, First-Out method. During June 2010 the company had the following transactions for an item of material: 240 units@ $6.00 160 units @ $5.50 $ 1,440 June 1 Balance 5 Purchased on credit 880 10 15 Issued 40 units to Job 60 Issued 220 units to Job 61 260 units @ $6.00 20 Purchased on credit 1,560 22 Issued 100 units to Job 62 25 Issued 200 units to Job 63 29 Returned 10 units to the supplier purchased on the 22 June REQUIRED (а) Prepare an inventory ledger card (stock card) to record the above. (b) Prepare a general journal entry to record the total issues for June Prepare a general journal entry to record the return to the supplier of 10 units purchased on 22 June (c) Task 8: Barcoo Pty Ltd employs five (5) employees in its factory. GALLAGHER spends half his time delivering finished goods for the sales department. Half of the wages are paid by the sales department. All accounts are in a single ledger. The following pay information relates to the week ended 11 June 2010. Each employee normally works a 40 hour week. Any hours in excess of 40 are paid ass overtime (at 1 times the normal hourly rate). The supervisor is paid $20 per hour, and the remaining four employees $16 per hour The time sheet summary for the week to 8 June 2007 shows: Employee Chong Hours Total 40 Supervision 36 Dashwood Job 01 42 Cleaning 22 Edwards Job 01 20 42 Job 02 Job 02 Ftelianos 28 Sick leave 4 40 Maintenance Gallagher Materials store 40 204 The company reduces the appropriate accrual/provision for any leave paid. Payment of sick leave was approved for Ftelianos PAYG tax withheld from all pays for the week totalled $1,036. There were no other payroll deductions The company accrues superannuation guarantee contributions at 9% of gross ordinary wages. ( calculate to the nearest whole dollar ) Overtime premium is charged to factory overhead, except for job 02 that is a rush order. REQUIRED Version Date: September 2019 Page 21 of 24 Sydney International Institute Pty Ltd T/A Sydney International Business College ABN No: 40 602 418 815 RTO No: 41182 CRICOS Provider: 03504G Address: Level 5, 307 Pitt Street, Sydney NSW 2000 Phone: 02 8971 0170 Email: sydibc@gmail.com SYDNEY SIENL GE

Sydney International Business College ABN No: 40 602 418 815 SIBC SIBC ETreRNATIONAL RTO No: 41182 CRICOS Provider No.: 03504G Address: Level 5, 307 Pitt Street, Sydney NSW 2000 Phone: 02 9264 4438 Email: info@sibc.nsw.edu.au Task 7: Gillam Ltd uses a perpetual inventory system. The unit cost of inventory is assigned using the First-In, First-Out method. During June 2010 the company had the following transactions for an item of material: 240 units@ $6.00 160 units @ $5.50 $ 1,440 June 1 Balance 5 Purchased on credit 880 10 15 Issued 40 units to Job 60 Issued 220 units to Job 61 260 units @ $6.00 20 Purchased on credit 1,560 22 Issued 100 units to Job 62 25 Issued 200 units to Job 63 29 Returned 10 units to the supplier purchased on the 22 June REQUIRED (а) Prepare an inventory ledger card (stock card) to record the above. (b) Prepare a general journal entry to record the total issues for June Prepare a general journal entry to record the return to the supplier of 10 units purchased on 22 June (c) Task 8: Barcoo Pty Ltd employs five (5) employees in its factory. GALLAGHER spends half his time delivering finished goods for the sales department. Half of the wages are paid by the sales department. All accounts are in a single ledger. The following pay information relates to the week ended 11 June 2010. Each employee normally works a 40 hour week. Any hours in excess of 40 are paid ass overtime (at 1 times the normal hourly rate). The supervisor is paid $20 per hour, and the remaining four employees $16 per hour The time sheet summary for the week to 8 June 2007 shows: Employee Chong Hours Total 40 Supervision 36 Dashwood Job 01 42 Cleaning 22 Edwards Job 01 20 42 Job 02 Job 02 Ftelianos 28 Sick leave 4 40 Maintenance Gallagher Materials store 40 204 The company reduces the appropriate accrual/provision for any leave paid. Payment of sick leave was approved for Ftelianos PAYG tax withheld from all pays for the week totalled $1,036. There were no other payroll deductions The company accrues superannuation guarantee contributions at 9% of gross ordinary wages. ( calculate to the nearest whole dollar ) Overtime premium is charged to factory overhead, except for job 02 that is a rush order. REQUIRED Version Date: September 2019 Page 21 of 24 Sydney International Institute Pty Ltd T/A Sydney International Business College ABN No: 40 602 418 815 RTO No: 41182 CRICOS Provider: 03504G Address: Level 5, 307 Pitt Street, Sydney NSW 2000 Phone: 02 8971 0170 Email: sydibc@gmail.com SYDNEY SIENL GE

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter6: Cost Of Goods Sold And Inventory

Section: Chapter Questions

Problem 32CE: ( Appendix 6B) Inventory Costing Methods: Periodic Average Cost Refer to the information for...

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