Question: I want the both to be solved by using the Average method Homework Question no. 1: - Fahed Co incurred the following transactions during the

 I want the both to be solved by using the Average

method Homework Question no. 1: - Fahed Co incurred the following transactions

I want the both to be solved by using the Average method

Homework Question no. 1: - Fahed Co incurred the following transactions during the month of December 2019. December 1: Beginning Inventory (100 units @ 5 per unit). December 6: Purchased 50 units @ 5.50 per unit. December 10: Purchased 30 units @ 5.25 per unit. December 13: Sold 130 units @ 12 per unit. December 15 Sold 25 units @ 12.50 per unit. December 19 Purchased 120 units @ 4.75 per unit. December 31: Sold 80 units @ 12.25 per unit. Required: You have to use "FIFO" methods and calculate the following: i. Calculate cost of ending inventory on December 31, 2019 ii. Calculate cost of goods sold for the period ending on December 31, 2019 iii. Calculate gross profit for the period ending on December 31", 2019. Homework Question no. 2: - Lebanon Trading Company reported the following January purchases and sales data for its only product Date Activities Units Acquired at Cost Units Sold at Retail 140 units @ $6.00 = $ 840 Jan 1 Jan. 10 Jan. Beginning inventory........... Sales 100 units @ $15 Purchase 60 units @ $5.00 = 300 Jan. Sales 80 units @ $15 25 Jan. 30 Purchase.. 180 units @ $4.50 = _ 810 Totals ..... 380 units $1.950 180 units Required: You have to use "Average" methods and calculate the following: a) Calculate cost of ending inventory on Jan 30, 2019 b) Calculate cost of goods sold for the period ending on Jan 30, 2019 c) Calculate gross profit for the period ending on Jan 30", 2019

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!