Concord Inc. is a retailer using a perpetual inventory system. All sales returns from customers result in the goods being returned toinventory. (Assume that the inventory is not damaged.) Assume that there are no credit transactions; all amounts are settled in cash.You are provided with the following information for Concord Inc. for the month of January.Unit Cost orDateDescriptionQuantitySelling PriceDec. 31Beginning inventory160$21Jan.2Purchase10022Jan.6Sale18040Jan9Sale return1040Jan.9Purchase7524Jan.10Purchase return1524Jan.10Sale5045Jan.23Purchase10026Jan.30Sale12051Using FIFO method, calculate (i) cost of goods sold, (ii) ending inventory, and (iii) gross profit. (Assume sales returns had a cost of$21 and purchase returns had a cost of $24.)Cost of goods sold2$Ending Inventory24Gross Profit24Using Average method, calculate (i) cost of goods sold, (ii) ending inventory, and (iii) gross profit. (Round average cost to 3 decimalplaces, e.g. 5.252 and final answers to 2 decimal places, e.g 5.25.)Cost of goods sold$Ending Inventory$Gross Profit$Compare results for the two cost formulas.(1)In a period of rising costs, the average cost formula results in thecost of goods sold andgross(2)In period of rising costs, on the statement of financial position, FIFO gives theending inventory (representir

Name: Concord Inc. is a retailer using a perpetual inventory system. All sa
Uploaded: 2024-03-20T06:32:37.000Z
Channel: Bartleby
Description: Concord Inc. is a retailer using a perpetual inventory system. All sales returns from customers result in the goods being returned toinventory. (Assume that the inventory is not damaged.) Assume that there are no credit transactions; all amounts are