Question: This is a 3-part question but they are all dependent on the other to get to the final answer. Thank you so much! The following
This is a 3-part question but they are all dependent on the other to get to the final answer. Thank you so much!
The following information pertains to Mason Company for Year 2:
| Beginning inventory | 150 | units | @ | $ | 40 | |
| Units purchased | 420 | units | @ | $ | 43 | |
Ending inventory consisted of 100 units. Mason sold 470 units at $86 each. All purchases and sales were made with cash. Operating expenses amounted to $3300.
(1) Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round "Cost per unit" to 2 decimal places and final answers to nearest whole dollar amount.)
| (1) | |||||||||
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(2) What is the amount of net income using FIFO, LIFO, and weighted average? (Ignore income tax considerations.) (Round "Cost per unit" to 2 decimal places and final answers to the nearest whole dollar.)
| (2) | ||||||||
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(3) Determine the cash flow from operating activities, using each of the three cost flow assumptions listed in Requirement a. Ignore the effect of income taxes. (Enter cash outflows with a minus sign.)
| (3) | ||||||||||||||||||||
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