The following inventory transactions took place for Pharoah Corporation for the month of May: Date Transaction...
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The following inventory transactions took place for Pharoah Corporation for the month of May: Date Transaction May 1 Beginning inventory May 5 Purchase May 10 Purchase May 15 Sale May 20 Sale May 22 Purchase May 24 Purchase May 25 Sale Quantity 4,000 3,000 3,000 5,000 3,000 3,500 2,500 5,000 Cost/Selling Price $3.10 $3.30 $3.40 $5.60 $5.60 $3.60 $3.60 $5.60 Instructions: Assuming that Pharoah uses a perpetual Inventory system and the moving-overage cost formula: al Calculate the ending inventory balance (5 marks) (b) Calculate the cost of goods sold (5 marks) The following inventory transactions took place for Pharoah Corporation for the month of May: Date Transaction May 1 Beginning inventory May 5 Purchase May 10 Purchase May 15 Sale May 20 Sale May 22 Purchase May 24 Purchase May 25 Sale Quantity 4,000 3,000 3,000 5,000 3,000 3,500 2,500 5,000 Cost/Selling Price $3.10 $3.30 $3.40 $5.60 $5.60 $3.60 $3.60 $5.60 Instructions: Assuming that Pharoah uses a perpetual Inventory system and the moving-overage cost formula: al Calculate the ending inventory balance (5 marks) (b) Calculate the cost of goods sold (5 marks)
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Answer rating: 100% (QA)
a To calculate the ending inventory levela stores ledger is prepared as shown b... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date:
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