Thai Smai Company has the following August purchases and sales data Date Actviities Units Acquired at...
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Thai Smai Company has the following August purchases and sales data Date Actviities Units Acquired at Cost Units Sold at Retail Aug-01 Beginning Inventory 150 units @ $7.00 1,050 90 units @ $15 1.320 Aug-10 Aug-20 Aug-25 Aug-30 Sales Purchases 220 units @ $6.00 Sales 145 units @ $15 Purchases 90 units @ $5.00 450 .* ... Total 460 units 2,820 235 units TASK Calculate the ending inventory balance, and cost of goods sold, using; (For specific identification, ending inventory consists of 225 unts, where 90 units are from the Aug 30 purchase, 80 are from the Aug 20 purchase, and 55 from the beginning inventory.) a) Specific Identification b) Averag Cost method c) FIFO d) LIFO e) Prepare a comparative income statement for the month of August for Thai Smai Company for the four inventory methods. Expenses are $1,600, and income tax rate is 30%. f) Which method has the highest net income? Thai Smai Company has the following August purchases and sales data Date Actviities Units Acquired at Cost Units Sold at Retail Aug-01 Beginning Inventory 150 units @ $7.00 1,050 90 units @ $15 1.320 Aug-10 Aug-20 Aug-25 Aug-30 Sales Purchases 220 units @ $6.00 Sales 145 units @ $15 Purchases 90 units @ $5.00 450 .* ... Total 460 units 2,820 235 units TASK Calculate the ending inventory balance, and cost of goods sold, using; (For specific identification, ending inventory consists of 225 unts, where 90 units are from the Aug 30 purchase, 80 are from the Aug 20 purchase, and 55 from the beginning inventory.) a) Specific Identification b) Averag Cost method c) FIFO d) LIFO e) Prepare a comparative income statement for the month of August for Thai Smai Company for the four inventory methods. Expenses are $1,600, and income tax rate is 30%. f) Which method has the highest net income?
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Related Book For
Introduction to Management Accounting
ISBN: 978-0133058789
16th edition
Authors: Charles Horngren, Gary Sundem, Jeff Schatzberg, Dave Burgsta
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