4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Sales Less: Cost of goods sold Gross profit S FIFO 0 $ LIFO Weighted Average 0 S Specific Identification 0 $ 0
4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Sales Less: Cost of goods sold Gross profit S FIFO 0 $ LIFO Weighted Average 0 S Specific Identification 0 $ 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions
for March.
Date
March 1
March 5
March 9
March 18
March 25
March 29
Activities
Beginning inventory
Purchase
Sales
Purchase
Purchase
Sales
Totals
Sales
Less: Cost of goods sold
Gross profit
$
FIFO
Units Acquired at Cost
135 units @ $70 per unit
435 units @ $75 per unit
0 $
190 units
270 units
1,030 units
For specific identification, units sold include 80 units from beginning inventory, 375 units from the March 5 purchase. 75
units from the March 18 purchase, and 155 units from the March 25 purchase.
LIFO
4. Compute gross profit earned by the company for each of the four costing methods.
Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar.
@ $80 per unit
@ $82 per unit
Weighted
Average
0 S
Specific
Identification
Units Sold at Retail
0 $
455 units @ $105 per unit
0
230 units @ $115 per unit
685 units
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