The journal entry to record the purchase of $24,110 of raw materials is a. Materials$24,110 Accounts Receivable$24,110 b. Materials$24,110 Accounts Payable$24,110 c. Inventory$24,110 Accounts Receivable$24,110 d. Inventory$24,110 Cash$24,110
Q: 2-7 FIFO costing Using first-in, first-out perpetual inventory costing and the follow- ing…
A: This question deals with the calculation of inventory under FIFO basis. First in first out(FIFO)…
Q: Fill in the lettered blanks to complete the cost of goods sold sections. B M O…
A: Fill in the letter blanks:
Q: Use the following data for Exercises E16-16, E16-17, and E16-18. Selected data for three companies…
A: A company is a legal entity which is formed by a group of people. The company is an ongoing entity…
Q: Finished goods inventory, June 1 Cost of goods manufactured Cost of finished goods available for…
A: Formula: Cost of finished goods available for sale = Beginning finished goods + Cost of goods…
Q: S1: The “Shipment to Branch” account is added to the home office’s purchase account in determining…
A: 1. While determining the cost of goods sold, the shipment would be added to the office purchase.…
Q: 1. LIFO - January - LIFO - January Purchases Cost of Goods Sold Balance Date Units Rate Cost Units…
A: Answer) Highest Issue Price: Highest issue price is $ 16.00 per unit. Date of Highest Price is…
Q: The “Shipment to Branch” account is added to the home office’s purchase account in determining home…
A: While determining the cost of goods sold, the shipment would be added to the office purchase.…
Q: Journal entries of the following question 1)Merchandise acquired cost is 114.000 +10 % VAT .Freight…
A: Journal entry means the entry in prime book with chronological order. Journal entry should have…
Q: Statement 1: The “Shipment to Branch” account is added to the home office’s purchase account in…
A: A branches a unit of a mercantilism placed a long way from the house workplace. A branch usually…
Q: debit to Work - in - Process Inventory $4,384 and a credit to Finished Goods Inventory $4,384 debit…
A: Journal entry: Journal entry is a set of economic events which can be measured in financial terms.…
Q: Question 1: Calculate the cost of material available for use, cost of material issued and cost of…
A: Under the periodic inventory system inventory is updated at the last of the year.
Q: 1. Merchandise Available for Sale FG, end = 2. Sales - (Sales Returns and Sales Discount) = 3. Cost…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: Assume an outlet of The Runner's Store has the following data: Date Item Quantity Unit Costs Sale…
A: Since you have asked a question with multiple subparts, we will solve the first three subparts for…
Q: Calculate the cost of goods available for sale. Inventory Opening Closing Material $100 $120 Work…
A: COST OF GOODS AVAILABLE FOR SALE : COST OF GOODS MANUFACTURED + COST OF FINISHED GOODS INVENTORY AT…
Q: Describe the events that correspond to the following two journal entries:Questions For Review of Key…
A: An Accounting event is a transaction that is recorded in the books of accounts of the company. There…
Q: Compute cost of goods sold using the following information: $ Finished goods inventory, beginning…
A: Given the following information: Finished goods inventory: $800 Beginning Cost of goods…
Q: 37 [Question text] The length of time between the purchase of inventory and the receipt of cash…
A: Operating Cycle Operating cycle of the business which is described as the period in which entity who…
Q: Additional information: . Rent is to be apportioned: factory %; office ¼ Inventory at 31 December…
A: Statement of cost of production:
Q: The following accounts are included in the ledger of David Company: Advertising expense Freight-in…
A: Cost of goods sold = Beginning inventory + Net purchases + Direct expenses - Ending inventory
Q: Prepare the journal entries to record the following transactions related to buying and selling…
A: Journal entries are the record of financial transactions.
Q: PROBLEM 3 Use both FIFO and WEIGHTED AVE in computing the required balances:…
A: First in First out (FIFO) is an inventory valuation method in which the earliest inventory hold by…
Q: B) Cost of goods sold will be shown. *22. Identify the accounts that are added to or deducted from…
A: Periodic inventory system is an inventory system in which all purchases and sales transactions…
Q: The following documents are used in the process of purchasing and using raw materials: (1) Despatch…
A: A store ledger account is defined as the manual or digital record of the raw materials purchased and…
Q: Finding unknown amounts. An auditor for the Internal Revenue Service is trying to reconstruct some…
A: Gross Margin: Gross Margin is margin left after reducing cost of goods sold from the Sales revenue.…
Q: 6. Raw materials issued to production (Use the periodic inventory system) 7. Cash refund for raw…
A: Operating activities is defined as the generation and outflow of the cash from day to day activities…
Q: Feb. 10: Sold merchandise inventory on account for S4,300. Payment terms were 3/15, n/30. These…
A: Journal entry: It is prepared to record the financial and non financial transaction of the business…
Q: Part 3: Kirsh, Inc. Below is information re: Kirsh, Inc.'s inventory accounts. Please complete the…
A: Sales 1500 Less: gross profit (10%) (150) Cost of units sold during the year (Q 19)…
Q: a2/ The following data industrial company for materials (X) 1/2 Balance :1000 unit@10$ 1/5 Issued…
A: First In First Out Method - In this method, units which are purchased firsts are supposed to be…
Q: Information on Entity A's inventory of Product A is as follows: Units 3,000 Total Cost P 58,650 Unit…
A: The Numerical has covered the concept of the Moving Average Method. The Moving Average Method…
Q: Exercise 5-13 Below is a series of cost of goods sold sections for companies B, M, O, and S.Fill in…
A: Cost of goods sold: Cost of goods sold is the total of all the expenses incurred by a company to…
Q: updating, to calculate (a) sales revenue, (b) cost of goods sold, anc Company, considering the…
A: a) Sales Revenue Number of units Unit Rate Total A B = A*B Sales Revenue 88 75 =6,600…
Q: A manufacturer's Raw Materials Inventory account appears as follows: Raw Materials Inventory 26, 100…
A: Cost of Manufacturing :— Cost of Manufacturing Include all type of Cost Incurred during the…
Q: Beginning Inventory $74,323 Work in Process Inventory Purchases $253,210 Beginning inventory…
A:
Q: Applying the Cost of Goods Sold Model The following amounts were obtained from the accounting…
A: Cost of Goods Sold=Beginning Inventory+Net Purchases-Ending Inventory
Q: Required: 1. Prepare journal entries to record the preceding transactions. 2. Post your entries to…
A: Journal entries shows the recording of the transactions and every transaction have dual impact that…
Q: Question 1: Calculate the cost of material available for use, cost of material issued and cost of…
A: Last-in, first-out is the method of inventory valuation where the item that is purchased or…
Q: Compute cost of goods sold using the following information. $12,200 Merchandise inventory, beginning…
A: Cost of goods sold: It is the cost of acquiring the goods or manufacturing the goods which are sold…
Q: 1. Merchandise Available for Sale - FG, end = 2. Sales - (Sales Returns and Sales Discount) = 3.…
A: The question is related to Cost Sheet.
Q: 1. On April 5, purchased merchandise on account from Pina Company for $ 27,200, terms 4/10, net/30,…
A: Discount amount = net Purchase x discount rate = (27200-3300) x4% = $956
Q: Assume an outlet of The Runner's Store has the following data: Date Item Quantity Unit Costs Sale…
A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…
Q: 1. On September 2nd the company sold inventory that cost $28,000 for a price of $59,000. Terms to…
A: Gross method is the method of recording the cash discount where discount is recorded at the time of…
Q: 9. Review the following transactions, and prepare any necessary journal entries for Renovation…
A: In an accounting cycle, posting journal entries are considered as the first step. There are certain…
Q: Ex2\ Determine the missing amounts in each the following independent cases: Data حدد المتالغ…
A: Inventory refers to the goods or items which are stored by the business either for selling or for…
The
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Inventory costing methods The purchases and issues of rubber gaskets (Materials Ledger #11216) as shown in the records of Hillsdale Corp. for November follow: Required: 1. Complete a materials ledger account similar to Figure 2-10 (the On Order columns should be omitted) for each of the following inventory costing methods, using a perpetual inventory system: a. FIFO b. LIFO c. Weighted average (carrying unit prices to five decimal places) 2. For each method, prepare a schedule that shows the total cost of materials transferred to Work in Process and the cost of the ending inventory. 3. If prices continue to increase, would you favor adopting the FIFO or the LIFO method? Explain. 4. When prices continue to rise, what is the effect of FIFO versus LIFO on the inventory balance for materials reported in the balance sheet? Discuss.Inventory costing methods The following transactions affecting materials occurred in February: Required: Record the transactions in materials ledger accounts similar to Figure 2-10. (The On Order columns should be omitted.) Use the following inventory methods, assuming the use of a perpetual inventory system. Carry unit prices to four decimal places. 1. FIFO 2. LIFO 3. Weighted averageQuestion 1: Calculate the cost of material available for use, cost of material issued and cost of material ending under FIFO and LIFO methods (periodic system). Also give the journal entries under each of the method. Date Details Units Cost per unit Rs. Total Cost Rs Jan 01 Beg Inventory 20 10 200 Jan 05 Purchases 50 11 550 Jan 06 Issued 30 Jan 09 Purchases 40 12 480 Jan 15 Purchases 20 13 260 Jan 20 Issued 60 Jan 28 Purchases 10 15 150
- A manufacturer’s Raw Materials Inventory account appears as follows: Raw Materials Inventory Debit Credit Beginning 25,700 Purchases 100,700 82,800 Direct materials used 15,700 Indirect materials used Ending 27,900 All raw materials purchases are made on credit. Prepare journal entries to record the:1. Purchase of raw materials.2. Direct materials used.3. Indirect materials used.Calculate the cost of material available for use, cost of material issued and cost of material ending under FIFO and LIFO methods (periodic system). Also give the journal entries under each of the method. Date detail Units cost per unit Rs. Total cost Rs. Jan 1 beg inventory 20 10 200 Jan 5 Purchases 50 11 550 Jan 6 issued 30 Jan 9 Purchases 40 12 480 Jan 15 Purchases 20 13 260 Jan 20 Issued 60 Jan 28 Purchases 10 15 150Multiple Choice a debit to Materials Inventory, $15,945. a debit to Materials Inventory, $16,670. a debit to Work-in-Process Inventory, $15,945. a credit to Work-in-Process Inventory, $15,945.
- E2-7 FIFO COSTING Using first-in, first-out perpetual inventory costing and the following information, determine the cost of materials used and the cost of the July 31 inventory:July 1 Balance on hand, 960 yd of linen @ $3.65 each.3 Issued 192 yd.5 Received 480 yd @ $4.56 each.6 Issued 120 yd.10 Issued 96 yd.11 Factory returned 18 yd, which were issued on the 10th, to the storeroom.15 Received 576 yd @ $5.05 each.20 Returned 336 yd to the vendor from the July 15 purchase.26 Issued 672 yd.E2-8 LIFO costing -Using last-in, first-out perpetual inventory costing and the information presented in E2-7, compute the cost of materials used and the cost of the July 31 inventory.Account Dollar amount Beginning Materials Inventory $74,323 Purchases ? Materials available for use 151,644 Ending inventory ? Materials used in production 78,413 Work In Process Inventory Beginning inventory 253,210 Materials used in production ? Direct labor 125,900 Overhead applied 94,425 Manufacturing costs incurred ? Ending inventory 242,932 Cost of goods manufactured ? Finished Goods Inventory Beginning inventory 333,149 Cost of goods manufactured ? Goods available for sale ? Ending inventory 354,235 Cost of goods sold ? Prepare the journal entries to record the following events: The purchase of materials The completion of work in process The sale of finished goods (omit the revenue side of the sale)Description Amount Inventory of Raw Material (Opening Stock) 12,500.00 Purchases of Raw Materials 102,000.00 Raw Materials Returned 650.00 Carriage on Purchases 1,800.00 Inventory of Finished goods - Opening 10,500.00 Inventory of Finished goods - Closing 12,000.00 Inventory of Raw Material (Closing Stock) 13,000.00 Cost of Raw Material Consumed ? find Cost fo Raw material consumed
- PROBLEM 3 Use both FIFO and WEIGHTED AVE in computing the required balances: June 1 Balance 800 @ P4.00 June 3 Issued 50 June 5 Purchased 300 @ P4.50 June 6 Issued 250 June 15 Issued 400 June 18 Purchased 300 @ P5.00 June 25 Issued 100 Using FIFO method compute for the cost of:a. Inventory Valueb. Materials Issued Using average method compute for the cost of:a.Inventory Valueb.Materials IssuedE2-7 FIFO costing Using first-in, first-out perpetual inventory costing and the follow- ing information, determine the cost of materials used and the cost of the July 31 inventory: July 1 Balance on hand, 1,000 yd of linen @ $4.00 each. 3 Issued 250 yd. 5 Received 500 yd @ $4.50 each. 6 Issued 150 yd. 10 Issued 110 yd. 11 Factory returned 10 yd, which were issued on the 10th, to the storeroom. 15 Received 500 yd @ $5.00 each. 20 Returned 300 yd to the vendor from the July 15 purchase. 26 Issued 600 ydCost of materials issuances under the FIFO methodAn incomplete subsidiary ledger of materials inventory for May is asfollow: a. Complete the materials issuances and balances for the materialssubsidiary ledger under FIFO.h. Determine the materials inventory balance at the end of May.c. Journalize the summary entry to transfer materials to work in process.d. Explain how the materials ledger might be used as an aid inmaintaining inventory quantities on hand.
