PR7-2B.LIFO Perpetual Inventory

OBJ. 2,3

The beginning inventory for Rhodes Co. and data on purchases and sales for a three-month period are shown inProblem 7-1B.

INSTRUCTIONS

1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory record similar to the one illustrated inExhibit 4, using the last-in, first-out method.
2. Determine the total sales, the total cost of merchandise sold, and the gross profit from sales for the period.

ANSWER ?$253,070

3. Determine the ending inventory cost on June 30.

PR 7-1B. FIFO Perpetual Inventory OBJ. 2, 3 The beginning inventory of merchandise at Rhodes Co. and data on purchases and sales for a three-month period ending June 30 are as follows: Date Transaction Number of Units Per Unit Total Apr. 3 Inventory 40 $ 670 $ 26,800 8 Purchase 120 690 82,800 11 Sale 60 1, 120 67,200 30 Sale 50 1,120 56,000 May Purchase 100 700 70,000 10 Sale 80 1,120 89,600 19 Sale 30 1,120 33,600 28 Purchase 120 707 84,840 June 5 Sale 60 1,260 75,600 16 Sale 40 1,260 50,400 21 Purchase 180 712 128, 160 28 Sale 190 1,260 239,400