Question 2 (20%) ABC Ltd. is a retailer company. ABC uses the perpetual inventory method. All sales returns from customers result in the goods being returned to inventory; the inventory is not damaged. Assume that there are no credit transactions; all amounts are settled in cash. You are provided with the following information for ABC Ltd. for the month of January 2022. Date Description Quantity January 1 January 5 January 10 January 11 January 20 January 21 January 31 Required: By using cost flow assumption of Moving Average, (a) calculate (i) cost of goods sold, (ii) ending inventory, and (iii) gross profit. (12%) (b) Journalize each transaction by following perpetual inventory system (8%) Purchase Purchase Sale Sale Return Purchase Purchase Return Sale Unit Cost/ Selling Price ($) 75 225 175 25 150 50 175 40 60 Unit Cost + 20% profit margin 65 65 Unit Cost + 20% profit margin

Question 2 (2o\%) ABC Ltd. is a retailer company. ABC uses the perpetual inventory method. All sales returns from customers result in the goods being returned to inventory; the inventory is not damaged. Assume that there are no credit transactions; all amounts are settled in cash. You are provided with the following information for ABC Ltd. for the month of January 2022. Kequirea: By using cost flow assumption of Moving Average, (a) calculate (i) cost of goods sold, (ii) ending inventory, and (iii) gross profit. (12\%) (b) Journalize each transaction by following perpetual inventory system ( 8% )