Tigerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for April. Activities Date Mar. 1 Beginning inventory Purchase Mar. 5 Mar. 9 Sales Mar. 18 Mar. 25 Mar. 29 Purchase Purchase Sales Totals Units Acquired at Cost Units Sold at Retail 100 units @ $50 per unit 400 units@ $55 per unit 120 units @ $60 per unit 200 units @ $62 per unit 820 units 420 units @ $85 per unit 160 units @ $95 per unit 580 units Case Paper Requirements: 1. Compute cost of goods available for sale and the number of units available for sale. Compute the number of units in ending inventory. 2. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, and (c) weighted average. ( 3. Compute gross profit earned by the company for each of the three costing methods in part 3. 4. Prepare a brief memorandum to the Chief Accountant of Tigerwoods Company explaining the results of your calculations in part 2 and how each method would affect net income. Use complete sentences with proper grammar and punctuation 5. Note that formatting and visual ease of grading will be assessed.

Tigerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for April. Activities Date Mar. 1 Beginning inventory Purchase Mar. 5 Mar. 9 Sales Mar. 18 Mar. 25 Mar. 29 Purchase Purchase Sales Totals Units Acquired at Cost Units Sold at Retail 100 units @ $50 per unit 400 units@ $55 per unit 120 units @ $60 per unit 200 units @ $62 per unit 820 units 420 units @ $85 per unit 160 units @ $95 per unit 580 units Case Paper Requirements: 1. Compute cost of goods available for sale and the number of units available for sale. Compute the number of units in ending inventory. 2. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, and (c) weighted average. ( 3. Compute gross profit earned by the company for each of the three costing methods in part 3. 4. Prepare a brief memorandum to the Chief Accountant of Tigerwoods Company explaining the results of your calculations in part 2 and how each method would affect net income. Use complete sentences with proper grammar and punctuation 5. Note that formatting and visual ease of grading will be assessed.

Name: Tigerwoods Company uses a perpetual inventory system. It entered into
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Description: Tigerwoods Company uses a perpetual inventory system. It entered into the following purchasesand sales transactions for April.DateMar. 1Mar. 5Mar. 9Mar. 18Mar. 25Mar. 29ActivitiesBeginning inventoryPurchaseSalesPurchasePurchaseSalesTotalsUnits Acqui

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter13: Accounting For Merchandise Inventory

Section: Chapter Questions

Problem 1MP: Hurst Companys beginning inventory and purchases during the fiscal year ended December 31, 20-2,...

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