Baylor Company€™s beginning inventory of D520 is 150 units at a cost of $ 89 each. Dates of purchases and sales for a three-month period are as follows:

Baylor Company maintains a perpetual inventory record using the first-in, first-out method. The minimum number of units allowed in inventory is 130; the maximum is 450. Data for January are recorded in the Working Papers.

Required
1. Record the data for purchases and sales of item D520 and for cost of goods sold in a perpetual inventory record using the first-in, first-out method for the months of February and March.
2. Determine the total cost of goods sold during the three-month period.
3. Determine the total sales for the three-month period.
4. Determine the gross profit from sales of item D520 for thisperiod.

Transcribed Image Text:

Sales Purchases UniCost per Unit Units Price per Unit Date 2 Jan. 16 225 90.50 70 $105.00 18 130 120 160 105.00 107.00 112.00 Feb.2 170 92.00 200 95.00 17 27 Mar.9 14 90 112.00 120 97.50 70 112.00 65 112.80