thank u ! Assume Store.com began July with 10 units of inventory that cost a total of $180. During July, Store.compurchased and sold goods as follows:(Click the icon to view the purchases and sales.)Suppose Store.com used the weighted-average inventory costing method and the perpetual inventorysystem. Compute the weighted-average unit cost of the company's inventory on hand at July 8. Roundweighted-average unit cost to the nearest cent.Data tableJul. 8Jul. 14Jul. 22Jul. 27PurchaseSalePurchaseSalePrint30 units @ $1925 units @ $3820 units @ $2130 units @ $38DoneX California Cycles started January with 12 bicycles that cost $42 each. On January 16, California purchased40 bicycles at $68 each. On January 31, California sold 31 bicycles for $105 each.Requirements1. Prepare California Cycle's perpetual inventory record assuming the company uses the LIFO inventorycosting method.2.Journalize the January 16 purchase of merchandise inventory on account and the January 31 sale ofmerchandise inventory on account.Requirement 1. Prepare California Cycle's perpetual inventory record assuming the company uses the LIFOinventory costing method.Start by entering the beginning inventory balances. Enter the transactions in chronological order, calculatingnew inventory on hand balances after each transaction. Once all of the transactions have been entered intothe perpetual record, calculate the quantity and total cost of inventory purchased, sold, and on hand at theend of the period. (For cost of goods sold, enter the first layer out under LIFO costing first. For inventory onhand, enter the oldest inventory layer first. Abbreviation used: QTY = Quantity; Tot. = Total)California CyclesDateJan. 1PurchasesQTY Unit Cost Tot. CostCost of Goods SoldQTY Unit Cost Tot. CostInventory on HandQTY Unit Cost Tot. Cost

Answered: Assume Store.com began July with 10…

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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thank u !

Assume Store.com began July with 10 units of inventory that cost a total of $180. During July, Store.com
purchased and sold goods as follows:
(Click the icon to view the purchases and sales.)
Suppose Store.com used the weighted-average inventory costing method and the perpetual inventory
system. Compute the weighted-average unit cost of the company's inventory on hand at July 8. Round
weighted-average unit cost to the nearest cent.
Data table
Jul. 8
Jul. 14
Jul. 22
Jul. 27
Purchase
Sale
Purchase
Sale
Print
30 units @ $19
25 units @ $38
20 units @ $21
30 units @ $38
Done
X

California Cycles started January with 12 bicycles that cost $42 each. On January 16, California purchased
40 bicycles at $68 each. On January 31, California sold 31 bicycles for $105 each.
Requirements
1. Prepare California Cycle's perpetual inventory record assuming the company uses the LIFO inventory
costing method.
2.
Journalize the January 16 purchase of merchandise inventory on account and the January 31 sale of
merchandise inventory on account.
Requirement 1. Prepare California Cycle's perpetual inventory record assuming the company uses the LIFO
inventory costing method.
Start by entering the beginning inventory balances. Enter the transactions in chronological order, calculating
new inventory on hand balances after each transaction. Once all of the transactions have been entered into
the perpetual record, calculate the quantity and total cost of inventory purchased, sold, and on hand at the
end of the period. (For cost of goods sold, enter the first layer out under LIFO costing first. For inventory on
hand, enter the oldest inventory layer first. Abbreviation used: QTY = Quantity; Tot. = Total)
California Cycles
Date
Jan. 1
Purchases
QTY Unit Cost Tot. Cost
Cost of Goods Sold
QTY Unit Cost Tot. Cost
Inventory on Hand
QTY Unit Cost Tot. Cost

Expert Solution

Step 1 Introduction

Weighted Average Method :— It is one of the method of inventory valuation in which it is assumed that average cost per unit at the time of sale is used for output or sales units.

LIFO Method :— It is one of the method of inventory valuation in which it is assumed that recent or newly purchases is used for output or sales units.

Journal Entry :— It is an act of recording transaction in books of account when transaction occurred.

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