(Algo) Perpetual: Alternative cost flows LO P1 ny uses a perpetual inventory system. It entered into the following calendar-year purchases and sales trans Units Sold at Retail Units Acquired at Cost 600 units @ $35 per unit 300 units @ $32 per unit 150 units @ $20 per unit Activities Beginning inventory Purchase Purchase Sales Purchase Purchase Sales 190 units @ $40 per unit 540 units @ $37 per unit 725 units @ $80 per unit 730 units @ $80 per unit
(Algo) Perpetual: Alternative cost flows LO P1 ny uses a perpetual inventory system. It entered into the following calendar-year purchases and sales trans Units Sold at Retail Units Acquired at Cost 600 units @ $35 per unit 300 units @ $32 per unit 150 units @ $20 per unit Activities Beginning inventory Purchase Purchase Sales Purchase Purchase Sales 190 units @ $40 per unit 540 units @ $37 per unit 725 units @ $80 per unit 730 units @ $80 per unit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Problem 5-3A (Algo) Perpetual: Alternative cost flows LO P1
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions.
Date
January 1
Activities
Beginning inventory
Purchase
Purchase
February 10
Units Acquired at Cost
600 units @ $35 per unit
300 units @ $32 per unit
150 units @ $20 per unit
March 13
25
March 15
Sales
August 21
September 5
September 10 Sales
Totals
Purchase
Purchase
Cost of goods available for sale
Number of units available for sale
190 units @ $40 per unit
540 units @ $37 per unit
1,780 units
2. Compute the number of units in ending inventory.
Ending inventory
Required:
1. Compute cost of goods available for sale and the number of units available for sale.
units
Units Sold at Retail
units
725 units @ $80 per unit
730 units @ $80 per unit
1,455 units
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