Records of the Swain New Products Co. show the following data relative to Product M: March 2
Question:
Records of the Swain New Products Co. show the following data relative to Product M:
March 2 Inventory . . . . . . . . . . . . . . . . . . . . . 450 units at $26.00
3 Sale . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400 units at $33.00
6 Purchase . . . . . . . . . . . . . . . . . . . . . . . . . . 350 units at $27.50
13 Purchase . . . . . . . . . . . . . . . . . . . . . . . . . 300 units at $28.00
20 Sale . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300 units at $34.50
25 Purchase . . . . . . . . . . . . . . . . . . . . . . . . . 100 units at $27.00
28 Sale . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 200 units at $35.00
Instructions: Calculate the inventory balance and the gross profit on sales for the month on each of the following bases.
1. Perpetual FIFO
2. Periodic FIFO
3.) Perpetual LIFO
4.) Periodic LIFO
5.) Perpetual average
6.) Periodic average
Step by Step Answer:
1 Perpetual FIFO Sales 400 3300 300 3450 200 3500 3055000 Cost of goods sold Inventory 450 2600 1170000 Purchases 350 2750 300 2800 100 2700 2072500 3...View the full answer
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
