Cast Iron Grills, Incorporated, manufactures premium gas barbecue grills. The company reports inventory and cost of goods sold based on calculations from a LIFO periodic inventory system. Cast Iron's December 31, 2024, fiscal year-end inventory consisted of the following (listed in chronological order of acquisition): Units 7,600 5,300 8,600 Unit Cost $1,000 1,100 1,200 The replacement cost of the grills throughout 2025 was $1,300. Cast Iron sold 40,000 grills during 2025. The company's selling price is set at 200% of the current replacement cost. Required: 1. & 2. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under two different assumptions. First, that Cast Iron purchased 41,000 units and, second, that Cast Iron purchased 21,500 units during the year. 4. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 assuming that Cast Iron purchased 41,000 units (as per the first assumption) and 21,500 units (as per the second assumption) during the year and uses the FIFO inventory cost method rather than the LIFO method. NOTE: on Req 1 and 2 the top one is correct, I need the rest of them though, thank you! Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 4 Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under two different assumptions. First, that Cast Iron purchased 41,000 units and, second, that Cast Iron purchased 21,500 units during the year. Note: Round "Gross profit ratio answer to 1 decimal place (i.e., 0.123 needs to be entered as 12.3.) Purchased Units Gross Profit 41,000 $ 52,000,000 21,500 $ 52,300,000 Show Transcribed Text Req 1 and 2 Complete this question by entering your answers in the tabs below. Req 4 Purchased Units Gross Profit Ratio 50.0 % 50.3% Gross Profit Gross Profit Ratio < Req 1 and 2 Req 4 > Show less A
Cast Iron Grills, Incorporated, manufactures premium gas barbecue grills. The company reports inventory and cost of goods sold based on calculations from a LIFO periodic inventory system. Cast Iron's December 31, 2024, fiscal year-end inventory consisted of the following (listed in chronological order of acquisition): Units 7,600 5,300 8,600 Unit Cost $1,000 1,100 1,200 The replacement cost of the grills throughout 2025 was $1,300. Cast Iron sold 40,000 grills during 2025. The company's selling price is set at 200% of the current replacement cost. Required: 1. & 2. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under two different assumptions. First, that Cast Iron purchased 41,000 units and, second, that Cast Iron purchased 21,500 units during the year. 4. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 assuming that Cast Iron purchased 41,000 units (as per the first assumption) and 21,500 units (as per the second assumption) during the year and uses the FIFO inventory cost method rather than the LIFO method. NOTE: on Req 1 and 2 the top one is correct, I need the rest of them though, thank you! Complete this question by entering your answers in the tabs below. Req 1 and 2 Reg 4 Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under two different assumptions. First, that Cast Iron purchased 41,000 units and, second, that Cast Iron purchased 21,500 units during the year. Note: Round "Gross profit ratio answer to 1 decimal place (i.e., 0.123 needs to be entered as 12.3.) Purchased Units Gross Profit 41,000 $ 52,000,000 21,500 $ 52,300,000 Show Transcribed Text Req 1 and 2 Complete this question by entering your answers in the tabs below. Req 4 Purchased Units Gross Profit Ratio 50.0 % 50.3% Gross Profit Gross Profit Ratio < Req 1 and 2 Req 4 > Show less A
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please complete all requirement and Do not give solution in image format
Transcribed Image Text:Cast Iron Grills, Incorporated, manufactures premium gas barbecue grills. The company reports inventory
and cost of goods sold based on calculations from a LIFO periodic inventory system. Cast Iron's
December 31, 2024, fiscal year-end inventory consisted of the following (listed in chronological order of
acquisition):
Units
7,600
5,300
8,600
Unit Cost
$1,000
1,100
1,200
The replacement cost of the grills throughout 2025 was $1,300. Cast Iron sold 40,000 grills during 2025.
The company's selling price is set at 200% of the current replacement cost.
Required:
1. & 2. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under
two different assumptions. First, that Cast Iron purchased 41,000 units and, second, that Cast Iron
purchased 21,500 units during the year.
4. Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 assuming
that Cast Iron purchased 41,000 units (as per the first assumption) and 21,500 units (as per the second
assumption) during the year and uses the FIFO inventory cost method rather than the LIFO method.
NOTE: on Req 1 and 2 the top one is correct, I need the rest of them though, thank you!
Complete this question by entering your answers in the tabs below.
Req 1 and 2
Req 4
Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 under two different assumptions.
First, that Cast Iron purchased 41,000 units and, second, that Cast Iron purchased 21,500 units during the year.
Note: Round "Gross profit ratio" answer to 1 decimal place (i.e., 0.123 needs to be entered as 12.3.)
Gross Profit Gross Profit Ratio
41,000 $52,000,000
50.0 %
21,500 $ 52,300,000
50.3 %
Purchased Units
Show Transcribed Text
Req 1 and 2
Complete this question by entering your answers in the tabs below.
Req 4
Purchased Units
< Req 1 and 2
Compute the gross profit (sales minus cost of goods sold) and the gross profit ratio for 2025 assuming that Cast Iron
purchased 41,000 units (as per the first assumption) and 21,500 units (as per the second assumption) during the year and
uses the FIFO inventory cost method rather than the LIFO method.
Note: Round "Gross profit ratio" answer to 1 decimal place (i.e., 0.123 needs to be entered as 12.3.)
41,000
21,500
Req 4 >
Gross Profit Gross Profit Ratio
< Req 1 and 2
Req 4 >
Show less A
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