Reader DC 4 / 6 75% Q#03 (A) The Jensen company is setting up an inventory control system. For one type of material, the following data have been assembled: Order quantity Minimum use per day. Normal use per day. Maximum use per day Lead time.. Required: 3,000 units .80 units .120 units 200 units 12 days 1. Safety stock (maximum) 2. Order point. 3. Normal maximum inventory. 4. Absolute maximum inventory Q #03(B) Following information's are provided with regard to inventory of Avec company for the month of May, 2006: Prepare the general entry to record initial entrty for start the production if no loss is charge to specific order May 01 Beginning inventory 800 units @ $6 per unit May 04 Purchase 200 units @ $7 per unit May 10 Purchase 500 units @ $8 per unit May 11 Sold 900 units @ $9.50 per unit May 12 Purchased 400 units @ $9 per unit May 20 Sold 600 units @ $12 per unit May 25 Purchased 600 units @ $9 per unit May 26 Sold 200 units @ 15 per unit. Required: 1. Calculate value of ending inventory under perpetual inventory system using LIFO and average costing method 2 Calculate cost of sales under periodic inventory system using LIFO, FIFO costing method 3. Find the Gross profit under above all AD