ASAP Req (1) & (2)

Req .1

Record the above transactions in general journal form assuming weighted-average cost flow. Assume perpetual inventory system is used. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round intermediate calculations to 3 decimal places. Round your final answers to the nearest whole dollar amount.)

Record first purchase of merchandise inventory for cash. Record second purchase of merchandise inventory for cash. Record sale of inventory for cash. Record entry for cost of goods sold. Record entry for salaries expenses paid. Record entry for income tax expenses paid.

Req .2

The accounting records of Wall's China Shop reflected the following balances as of January 1, Year 2. The following five transactions occurred in Year 2: 1. First purchase (cash): 125 units @ $96 2. Second purchase (cash): 200 units @ \$104 3. Sales (all cash): 435 units @ \$199 4. Paid $16,050 cash for salaries expenses 5. Paid cash for income tax at the rate of 40 percent of income before taxes Required a. Compute the cost of goods sold and ending inventory, assuming (1) FIFO cost flow, (2) LIFO cost flow, and (3) weighted-average cos flow. Compute the income tax expense for each method. b. Record the above transactions in general journal form and post to T-accounts assuming each of the cost flows listed. Assume perpetual inventory system is used. 1. FIFO 2. LIFO 3. Weighted Average c. Use a vertical model to show the Year 2 income statement, balance sheet, and statement of cash flows under FIFO, LIFO, and weighted average. Record the Year 2 transactions in T-accounts assuming weighted-average cost flow. Assume perpetual inventory system is used. (Round