Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactionsfor March.DateMarch 1ActivitiesUnits Acquired at Cost100 units400 unitsUnits Sold at RetailMarch 5March 9Beginning inventoryPurchaseSales@ $50 per unit@ $55 per unit420 units @ $85 per unitMarch 18March 25@ $60 per unit@ $62 per unitPurchase120 units200 unitsPurchaseMarch 29Sales160 units@ $95 per unitTotals820 units580 unitsProblem 5-1A (Static) Part 44. Compute gross profit earned by the company for each of the four costing methods. For specific identification, units sold include 80units from beginning inventory, 340 units from the March 5 purchase, 40 units from the March 18 purchase, and 120 units from theMarch 25 purchase. (Round weighted average cost per unit to 2 decimal places.)Gross MarginFIFOLIFOWeighted AverageSpecific IDSalesLess: Cost of goods soldGross profit

Under FIFO Method, units which comes in first will be sold first and the inventory will be out of…

4. Compute gross profit earned by the company for each of the four costing methods. For specific identification, units sold include 80 units from beginning inventory, 340 units from the March 5 purchase, 40 units from the March 18 purchase, and 120 units from the March 25 purchase. (Round weighted average cost per unit to 2 decimal places.) Gross Margin FIFO LIFO Weighted Average Specific ID Sales Less: Cost of goods sold Gross profit

4. Compute gross profit earned by the company for each of the four costing methods. For specific identification, units sold include 80 units from beginning inventory, 340 units from the March 5 purchase, 40 units from the March 18 purchase, and 120 units from the March 25 purchase. (Round weighted average cost per unit to 2 decimal places.) Gross Margin FIFO LIFO Weighted Average Specific ID Sales Less: Cost of goods sold Gross profit

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Required: 2. Determine the cost assigned to ending inventory and to cost of goods sold using weighted average. Date January 01 January 10 January 20 January 25 January 30 Date January 01 January 10 January 20 January 25 January 30 Activities Beginning inventory Sales Purchase Sales Purchase Totals Weighted Average Activities Beginning inventory Sales Purchase Sales Purchase Totals Units Units Acquired at Cost Cost 195 290 605 Units 120 $11.00 155 per unit 135 $12.00 290 Cost of Goods Sold Cost per unit $10.50 Total cost $2,340.00 $1,320.00 $3,045.00 $6,705.00 Cost of goods sold $0.00 Units 155 135 290 Units 195 Units Sold at Retail Selling price per unit $21.00 $21.00 Inventory Balance Cost per unit $12.00 Total Sales $3,255.00 $2,835.00 $6,090.00 Total Cost $2,340.00
Cherokee Inc. is a merchandiser that provided the following information: Amount Number of units sold Selling price per unit Variable selling expense per unit Variable administrative expense per unit Total fixed selling expense Total fixed administrative expense Beginning merchandise inventory Ending merchandise inventory Merchandise purchases 12,000 $ $ $ 1 $ 22,000 $ 14,000 $ 10,000 $ 26,000 $ 87,000 18 2 Required: 1. Prepare a traditional income statement. 2. Prepare a contribution format income statement. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a traditional income statement. Cherokee, Inc. Traditional Income Statement Sales Cost of goods sold Gross margin Selling and administrative expenses: Selling expenses Administrative expenses Net operating income
(b) Prove the cost of goods sold calculations. (Round the weighted average cost per unit to 2 decimal places, e.g. 52.75 and other answers to O decimal places, e.g. 5,275.) Check of Cost of Goods Sold (FIFO): Apr. 1 Apr. 12 Weighted Average Units Check of Cost of Goods Sold: $ Unit Cost units x $ $ $ Total Cost per unit = $
Given the following: Numberpurchased Costper unit Total January 1 inventory 30 $ 5 $ 150 April 1 50 8 400 June 1 40 9 360 November 1 45 10 450 165 $ 1,360 a. Calculate the cost of ending inventory using the LIFO (ending inventory shows 51 units). b. Calculate the cost of goods sold using the LIFO (ending inventory shows 51 units).
2. Below is the Statement of Cost of Goods Manufactured and the Income Statement for two separate companies. Determine the amounts for each of the missing items (the highlighted items). Hint: start with the cost of goods manufactured Statement of Net Income Snoopy Co. Woodstock Co. Sales 2,760,000 1,117,000 Cost of Goods Sold: Beginning Inventory - Finished Goods 316,800 136,000 Cost of Goods Manufactured 683,000 Cost of Goods Available for Sale Less: Ending Inv - Finished Goods 331,200 Cost of Goods Sold 701,000 Gross Profit Operating Expenses 360,000 Net Income 256,000 Statement of Cost of Goods Manufactured Snoopy Co. Woodstock Co. Direct Materials: Beginning Inventory - Direct Materials 187,200 118,000 Purchases of Direct Materials 475,200 228,000 Materials Available for Use Less: Ending Inv - Direct Materials 120,000 Total Direct Materials Costs 501,600 Direct Labor 705,600 Overhead 218,400 120,000 Total Manufacturing Costs Incurred 690,000 Beginning Inventory - WIP 360,000…
gross profit questions. please explain steps used.
Requirements: Complete the Ending Inventory and Cost of Goods Sold schedules for each inventory costing method; FIFO, LIFO, WAVG. Complete the Income Statement and Cash Flow Statement under each inventory costing method. Explain the differences in Net Income under each inventory costing method. Notes: Operating Expenses and taxes were paid in cash. The company's beginning cash balance was $1,200. Cost of Goods Available For Sale Unit Total Units Price Cost Beginning Inventory 150.0 15.0 First Purchase (cash) 100.0 16.0 Second Purchase (cash) 190.0 17.2 Total Cost of Goods Available for Sale Weighted Average Cost Cost of Goods Available For Sale Unit Total Units Price Cost Beginning Inventory 150.0 15.0 First Purchase (cash)…
Calculate the missing information based on the format of the income statement. Cost of Goods Sold Operating Expenses Net Sales $336,500 Submit Answer $132,100 Gross Margin ($) $107,000 $ Net Profit ($)
What is the Weighted average cost per unit?
(1)Garcon Company | Pepper Company (2) Finished goods inventory, beginning $ 13,200 / $ 16, 750 Work in process inventory, beginning 18,000/ 22,650 Raw materials inventory, beginning 9, 800/12, 750 Rental cost on factory equipment 30, 250/26, 350 Direct labor 19, 400 / 39,400 Finished goods inventory, ending 17,300 / 16, 400 Work in process inventory, ending 26, 200/20, 400 Raw materials inventory, ending 8, 000/ 9,200 Factory utilities 14, 100/13, 750 General and administrative expenses 27, 500/53, 500 Indirect labor 12, 150 / 12, 260 Repairs-Factory equipment 4, 820/2, 350 Raw materials purchases 47,000/67,500 Selling expenses 62, 400 / 54,400 Sales 295, 320/394, 170 Cash 29, 000/24, 200 Accounts receivable, net 15,800 / 23,450
Walmart takes its net sales and subtracts the cost of goods sold during the previous period. The result is Walmart's _________. a.Gross profit b. Gross sales c. Net margin d. Net income
Whispering Winds Corp. reports the following for the month of June. Units Unit Cost Total Cost June 1 Inventory 300 $4 $1,200 12 Purchase 600 $9 $5400 23 Purchase 450 $10 $4500 30 Inventory 150 Calculate Weighted Average Unit Cost. (Round answer to 2 decimal places, e.g. 15.25.) Weighted Average Unit Cost ? Compute the cost of the ending inventory and the cost of goods sold using the average-cost method. (Round answers to 0 decimal places, e.g. 1,250.) The ending inventory ? The cost of goods sold ? Will the results in (a) be higher or lower than the results under FIFO and LIFO? Ending inventory is (higher or lower) than FIFO $? and (higher or lower) than LIFO $? In contrast, cost of goods sold is (higher or lower) than FIFO $? and (higher or lower) than LIFO $?