22 Sold 2,100 units of inventory on account for $0.95 per unit. (Matthias sold 2,100 of the $0.77 units.) Adjustment data: 1. Accrued salaries payable $430. 2. Depreciation $210 per month. On December 1, 2022, Matthias Company had the following account balances. Debit Credit Cash $4,300 Accumulated Depreciation-Equipment $1,600 Accounts Receivable 4.100 Accounts Payable 3,100 * Inventory 1,680 Common Stock 20,600 Equipment 22,900 Retained Earnings 7,680 $32,980 $32,980 *(2,800 x $0.60) The following transactions occurred during December. Dec. 3 Purchased 3,900 units of inventory on account at a cost of $0.77 per unit. 5 Sold 4,500 units of inventory on account for $0.90 per unit. (Matthias sold 2,800 of the $0.60 units and 1,700 of the $0.77.) 7 Granted the December 5 customer $180 credit for 200 units of inventory returned costing $144. These units were returned to inventory. 17 Purchased 2,500 units of inventory for cash at $0.80 each.
22 Sold 2,100 units of inventory on account for $0.95 per unit. (Matthias sold 2,100 of the $0.77 units.) Adjustment data: 1. Accrued salaries payable $430. 2. Depreciation $210 per month. On December 1, 2022, Matthias Company had the following account balances. Debit Credit Cash $4,300 Accumulated Depreciation-Equipment $1,600 Accounts Receivable 4.100 Accounts Payable 3,100 * Inventory 1,680 Common Stock 20,600 Equipment 22,900 Retained Earnings 7,680 $32,980 $32,980 *(2,800 x $0.60) The following transactions occurred during December. Dec. 3 Purchased 3,900 units of inventory on account at a cost of $0.77 per unit. 5 Sold 4,500 units of inventory on account for $0.90 per unit. (Matthias sold 2,800 of the $0.60 units and 1,700 of the $0.77.) 7 Granted the December 5 customer $180 credit for 200 units of inventory returned costing $144. These units were returned to inventory. 17 Purchased 2,500 units of inventory for cash at $0.80 each.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Compute ending inventory and cost of good sold under LIFO, assuming Matthias Company uses the periodic inventory system.
Transcribed Image Text:22
Sold 2,100 units of inventory on account for $0.95 per unit. (Matthias sold 2,100 of the $0.77 units.)
Adjustment data:
1. Accrued salaries payable $430.
2. Depreciation $210 per month.
Transcribed Image Text:On December 1, 2022, Matthias Company had the following account balances.
Debit
Credit
Cash
$4,300
Accumulated Depreciation-Equipment
$1,600
Accounts Receivable
4.100
Accounts Payable
3,100
*
Inventory
1,680
Common Stock
20,600
Equipment
22,900
Retained Earnings
7,680
$32,980
$32,980
*(2,800 x $0.60)
The following transactions occurred during December.
Dec. 3 Purchased 3,900 units of inventory on account at a cost of $0.77 per unit.
5
Sold 4,500 units of inventory on account for $0.90 per unit. (Matthias sold 2,800 of the $0.60 units and 1,700 of the $0.77.)
7
Granted the December 5 customer $180 credit for 200 units of inventory returned costing $144. These units were returned to inventory.
17
Purchased 2,500 units of inventory for cash at $0.80 each.
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