atlas gym began january with merchandise inventory of 70 crates of vitamins that cost a total of $4,550. during the month, atlas gym purchased and sold merchandise on account as follows: view the transactions. read the requirements. requirement 1. prepare a perpetual inventory record, using the fifo inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit. begin by computing the cost of goods sold and cost of ending merchandise inventory using the fifo inventory costing method. 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 merchandise inventory purchased, sold, and on hand at the end of the period. (enter the oldest inventory layers first.) purchases cost of goods sold inventory on hand jan. 5 purchase jan. 13 sale jan. 18 purchase jan. 26 sale 130 crates @ $76 each 140 crates @ $102 each 150 crates @ $83 each 160 crates @ $106 each

Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter7: Inventories
Section: Chapter Questions
Problem 7PA: Selected data on merchandise inventory, purchases, and sales for Celebrity Tan Co. and Ranchworks...
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atlas gym began january with merchandise inventory of 70 crates of vitamins that cost a total of $4,550.
during the month, atlas gym purchased and sold merchandise on account as follows: view the
transactions. read the requirements. requirement 1. prepare a perpetual inventory record, using the fifo
inventory costing method, and determine the company's cost of goods sold, ending merchandise
inventory, and gross profit. begin by computing the cost of goods sold and cost of ending merchandise
inventory using the fifo inventory costing method. 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 merchandise inventory
purchased, sold, and on hand at the end of the period. (enter the oldest inventory layers first.) purchases
cost of goods sold inventory on hand jan. 5 purchase jan. 13 sale jan. 18 purchase jan. 26 sale 130 crates
@ $76 each 140 crates @ $102 each 150 crates @ $83 each 160 crates @ $106 each
Transcribed Image Text:atlas gym began january with merchandise inventory of 70 crates of vitamins that cost a total of $4,550. during the month, atlas gym purchased and sold merchandise on account as follows: view the transactions. read the requirements. requirement 1. prepare a perpetual inventory record, using the fifo inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory, and gross profit. begin by computing the cost of goods sold and cost of ending merchandise inventory using the fifo inventory costing method. 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 merchandise inventory purchased, sold, and on hand at the end of the period. (enter the oldest inventory layers first.) purchases cost of goods sold inventory on hand jan. 5 purchase jan. 13 sale jan. 18 purchase jan. 26 sale 130 crates @ $76 each 140 crates @ $102 each 150 crates @ $83 each 160 crates @ $106 each
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