Assume that three identical units of merchandise are purchased during October, as follows: Units Cost October 5 Purchase 1 $5 12 Purchase 1 13 28 Purchase 1 15 Total 3 $33 Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method. October 31 Sales $fill in the blank 1 Cost of Goods Sold fill in the blank 2 Gross Profit $fill in the blank 3 Ending Inventory $fill in the blank 4
Assume that three identical units of merchandise are purchased during October, as follows: Units Cost October 5 Purchase 1 $5 12 Purchase 1 13 28 Purchase 1 15 Total 3 $33 Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method. October 31 Sales $fill in the blank 1 Cost of Goods Sold fill in the blank 2 Gross Profit $fill in the blank 3 Ending Inventory $fill in the blank 4
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter7: Inventories
Section: Chapter Questions
Problem 1PEA: The following three identical units of Item BZ1810 are purchased during November: Assume that one...
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Assume that three identical units of merchandise are purchased during October, as follows:
Units | Cost | |||
October | 5 | Purchase | 1 | $5 |
12 | Purchase | 1 | 13 | |
28 | Purchase | 1 | 15 | |
Total | 3 | $33 |
Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method.
October 31 | |
Sales | $fill in the blank 1 |
Cost of Goods Sold | fill in the blank 2 |
Gross Profit | $fill in the blank 3 |
Ending Inventory | $fill in the blank 4 |
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