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D. Beginning inv April 1 Invertory 120 units at $26 April 10 Sale 90 units April 15 Purchase 140 units at $28 April 30 Sale 110 units The business maintains a perpetual inventory system and costing by FIFO. a. What is the cost of merchandise sold on April 10, 2022? What is the cost of merchandise sold on April 30, 2022?

D. Beginning inv April 1 Invertory 120 units at $26 April 10 Sale 90 units April 15 Purchase 140 units at $28 April 30 Sale 110 units The business maintains a perpetual inventory system and costing by FIFO. a. What is the cost of merchandise sold on April 10, 2022? What is the cost of merchandise sold on April 30, 2022?

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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b. Beginning inventory, purchases and sales data for a company are as follows: April 1 Invertory 120 units at $26 April 10 Sale 90 units April 15 Purchase 140 units at $28 April 30 Sale 110 units The business maintains a perpetual inventory system and costing by FIFO. a. What is the cost of merchandise sold on April 10, 2022? b. What is the cost of merchandise sold on April 30, 2022? c. What is the ending inventory value on April 30, 2022? d. Based on the data, would you expect the inventory to be higher or lower using LIFO method? Explain.
Transcribed Image Text:b. Beginning inventory, purchases and sales data for a company are as follows: April 1 Invertory 120 units at $26 April 10 Sale 90 units April 15 Purchase 140 units at $28 April 30 Sale 110 units The business maintains a perpetual inventory system and costing by FIFO. a. What is the cost of merchandise sold on April 10, 2022? b. What is the cost of merchandise sold on April 30, 2022? c. What is the ending inventory value on April 30, 2022? d. Based on the data, would you expect the inventory to be higher or lower using LIFO method? Explain.
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