A company buys and sells electric bicycles. For the most recent financial year, you have the following purchases and inventories. On 2020-01-01, 20 bicycles were in stock. These had been purchased for SEK 10,000 each. During the year, 20 bicycles were purchased in March for SEK 12,000 each and 30 bicycles in April for SEK 15,000 each. At the end of the year 2020-12-31, 30 electric bicycles were still in stock. These are estimated to be able to be sold for SEK 10,000 each. The reason for the lower sales price is that more efficient batteries have been developed and electric bicycles with the older technology must be sold out. The company wants to report as high a value of inventory as possible. FIFU is applied. Enter the amount (in SEK thousand) for the following items in the completed financial statements: a. Cost of goods for 2020 * tkr b. Reported value for inventories per 2020-12-31
A company buys and sells electric bicycles. For the most recent financial year, you have the following purchases and inventories. On 2020-01-01, 20 bicycles were in stock. These had been purchased for SEK 10,000 each. During the year, 20 bicycles were purchased in March for SEK 12,000 each and 30 bicycles in April for SEK 15,000 each. At the end of the year 2020-12-31, 30 electric bicycles were still in stock. These are estimated to be able to be sold for SEK 10,000 each. The reason for the lower sales price is that more efficient batteries have been developed and electric bicycles with the older technology must be sold out. The company wants to report as high a value of inventory as possible. FIFU is applied.
Enter the amount (in SEK thousand) for the following items in the completed financial statements:
a. Cost of goods for 2020 *
tkr
b. Reported value for inventories per 2020-12-31
tkr
Step by step
Solved in 3 steps with 5 images
