eBook Problem 6-67A Inventory Costing Methods Anderson's Department Store has the following data for inventory, purchases, and sales of merchandise for December: Purchase Price Sale Price Activity Units (per unit) (per unit) 10 22 Beginning inventory Purchase 1, Dec. 2 Purchase 2, Dec. 5 $5.00 8.80 9.05 26 19 520.00 Sale 1, Dec. 7 25 20.00 Sale 2. Dec. 10 12 9.30 Purchase 3, Dec. 12 Sale 3, Dec. 14 20.00 20 Anderson's uses a perpetual inventory system. All purchases and sales were for cash. Required: 1. Compute cost of goods sold and the cost of ending inventory using FIFO. If required, round your answers to the nearest cent. Cost of goods sold 5 567.7 Cost of ending Inventory 58.8 2. Compute cost of goods sold and the cost of anding Inventory using LIFO. If required, round your answers to the nearest cent. 2. Compute cost of goods sold and the cost of ending Inventory using LIFO. If required, round your answers to the nearest cent Cost of goods sold 578.5 Cost of ending Inventory 5 48 3. Compute cost of goods sold and the cost of ending inventory using the average cost method. (Note: Use four decimal places for per unit calculations.) Round your answers to the nearest cent. Cost of goods sold 578.5 X Cost of ending inventory 58.8 X Feedback Check My Wor 4. Prepare the journal entries to record these transactions assuming Anderson choose to use the FIFO method. It required, round your answers to the nearest cent Dec. 2 Inventory 1936 Cash 193% (Purchased inventory) Dec. 5 Inventory 2353 Dec. 5 Inventory 235.3 Cash 235.3 (Purchased Inventory) Dec. 7 Cash 235.3 X Sales Revenue 1144 X (Recorded cash sales to customers) Dec. 7 126.7 X Cost of Goods Sold Inventory (Recorded cost of goods sold) 5.05 x Dec. 10 Cash 117.6 x 117.6 X Sales Revenue (Recorded cash sales to customers) Dec. 10 Cost of Goods Sold Inventory Inventory (Recorded cost of goods sold) Dec. 12 Inventory 117.6 Cash 117.6 (Purchased Inventory) Dec. 14 Cash 58.8 X Sales Revenue (Recorded cash sales to customers) Dec. 14 Cost of Goods Sold 58.8 X Inventory (Recorded cost of goods sold) Feedback I Check My Work 4. In each transaction, consider whether the company is the buyer or the seller. From the t will include the purchase price of the inventory plus any cost of bringing the goods to a sal return of inventory requires two journal entries - one to record the revenue portion of the tr transaction. O JUL 00)