Question: The following inventory transactions apply to Willow Company for 2012. The beginning inventory consisted of 175 units at ($ 34) per unit. All transactions are

The following inventory transactions apply to Willow Company for 2012.
Jan. 1 Apr. 1 Aug. 1 Purchased 250 units @ $40 Sold
The beginning inventory consisted of 175 units at $\$ 34$ per unit. All transactions are cash transactions.
Required

a. Record these transactions in general journal format assuming Willow uses the FIFO cost flow assumption and keeps perpetual records.

b. Compute cost of goods sold for 2012.

Jan. 1 Apr. 1 Aug. 1 Purchased 250 units @ $40 Sold 125 units @ $70 Purchased 400 units @ $44 Dec. 1 Sold 500 units @ $76

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