2) Sea Travel sells motor boats. One of Sea Travel's most popular models is the Wing....

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2) Sea Travel sells motor boats. One of Sea Travel's most popular models is the Wing. During the current year, Sea Travel purchased 15 Wings at the following costs. Purchase Date Units Purchased Unit Cost Total cost $7000 $28,000 $7100 14,200 $7250 58000 $7300 73000 $173,200 May 2 May 20 May 25 June 5 4 2 8 10 24 On May 28, Sea Travel sold 11 Wings to the jack Sport racing team. Compute a) the cost of goods sold on May 28 and b) The ending inventory of Wing boats at June 5, using the following cost flow assumptions: c) Prepare journal entries to record the cost of the 11 wings sold on May 28, assuming that the company uses the: Show Calculation. Points will be given ONLY if you show computations. a. Average cost (15 points) COGS: Ending inventory. b. FIFO (15 points) COGS: Ending inventory: Date Debit Credit Db Cr c. LIFO (15 points) COGS: Ending inventory: Date Debit Credit Db Cr 3) Pag Inc. is a sporting goods manufacturer. The firm uses a periodic inventory system. Pag Inc. s hipped $20000 of defective goods to a retailer. The retailer and Pag Inc. agreed that the retailer would keep the goods in exchange for $3500 allowance. The cost of the goods was $2000. What journal entry would Pag Inc record? (5 points) Date Debit Credit Db Cr 2) Sea Travel sells motor boats. One of Sea Travel's most popular models is the Wing. During the current year, Sea Travel purchased 15 Wings at the following costs. Purchase Date Units Purchased Unit Cost Total cost $7000 $28,000 $7100 14,200 $7250 58000 $7300 73000 $173,200 May 2 May 20 May 25 June 5 4 2 8 10 24 On May 28, Sea Travel sold 11 Wings to the jack Sport racing team. Compute a) the cost of goods sold on May 28 and b) The ending inventory of Wing boats at June 5, using the following cost flow assumptions: c) Prepare journal entries to record the cost of the 11 wings sold on May 28, assuming that the company uses the: Show Calculation. Points will be given ONLY if you show computations. a. Average cost (15 points) COGS: Ending inventory. b. FIFO (15 points) COGS: Ending inventory: Date Debit Credit Db Cr c. LIFO (15 points) COGS: Ending inventory: Date Debit Credit Db Cr 3) Pag Inc. is a sporting goods manufacturer. The firm uses a periodic inventory system. Pag Inc. s hipped $20000 of defective goods to a retailer. The retailer and Pag Inc. agreed that the retailer would keep the goods in exchange for $3500 allowance. The cost of the goods was $2000. What journal entry would Pag Inc record? (5 points) Date Debit Credit Db Cr

Answer rating: 100% (QA)

2 Sea Travel Cost of Goods Sold and Ending Inventory a Average Cost Total Cost Total Units 173... View the full answer