During 2020, Fresh Express Company sold 2,410 units of Its product on September 20 and 2,550 units on December 22, all at a price of $81 per unit. Incurring operating expenses of $11 per unit sold, it began the year with and made successive purchases of the product as follows: January 1 beginning inventory 51e units @s 26 per unit Purchases: February 20 May 16 December 11 1,410 units @s 28 per unit 618 units @s 32 per unit 3,21e units @s 33 per unit Total 5,740 units Requlred: Prepare a comparative income statement for the company, showing in adjacent columns the profits earned from the sale of the product, assuming the company uses a perpetual Inventory system and prices its ending Inventory on the basis of (a) FIFO and (b) Moving weighted average: (Round "Cost per unlt" to 2 decimal places. Round the final answers to nearest doller.) FRESH EXPRESS COMPANY Income Statement Comparing FIFO and Moving Weighted Average Inventory Costing Methods For Year Ended December 31, 2020 Moving Weighted Average Cost FIFO

During 2020, Fresh Express Company sold 2,410 units of Its product on September 20 and 2,550 units on December 22, all at a price of $81 per unit. Incurring operating expenses of $11 per unit sold, it began the year with and made successive purchases of the product as follows: January 1 beginning inventory 51e units @s 26 per unit Purchases: February 20 May 16 December 11 1,410 units @s 28 per unit 618 units @s 32 per unit 3,21e units @s 33 per unit Total 5,740 units Requlred: Prepare a comparative income statement for the company, showing in adjacent columns the profits earned from the sale of the product, assuming the company uses a perpetual Inventory system and prices its ending Inventory on the basis of (a) FIFO and (b) Moving weighted average: (Round "Cost per unlt" to 2 decimal places. Round the final answers to nearest doller.) FRESH EXPRESS COMPANY Income Statement Comparing FIFO and Moving Weighted Average Inventory Costing Methods For Year Ended December 31, 2020 Moving Weighted Average Cost FIFO

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The trailer company exspects to sell 9000 for $155 each for a total of $1,395,000 in January and 4500 units for $225 each for a total of $1,012,500 in February. The company exspects the cost of goods sold to average 70% of sales revenue, and the company exspects to sell 4700 units in march for $290 each. Trailer's target ending inventory is $9000 plus 50% of next months cost of goods sold. Prepare Trailer's inventory, purchases, and cost of goods sold budget for January and February. Trailer Company Inventory, Purchases, and Cost of Goods Sold Budget Two months Ended January 31 and February 28 January february cost of goods sold Plus: Desired ending merchandise inventory Total merchandise inventory required Less: Beginning merchandise inventory Budgeted purchases
Monroe Company had a beginning inventory of 355 cans of paint at $12.50 each on January 1 at a cost of $4,437.50. During the year, the following purchases were made: February 15 April 30 July 1 285 cans at $14.50 130 cans at $15.00 120 cans at $15.50 Monroe marks up its goods at 30% on cost. At the end of the year, ending inventory showed 150 units remaining. Calculate the amount of sales assuming a FIFO flow of inventory. Note: Round your intermediate calculations and final answer to the nearest cent. Answer is complete but not entirely correct. Amount of sales s 10,297.50
can you solve this pease ?
Opening and closing inventory balances and purchases for the month of October 2020 for Haadiyah Hearing Ltd are as follows: Units Per unit Inventory, 1 October 7,000 $4.00 Purchase, 3 October 8,000 $4.10 Purchase, 15 October 11,000 $4.20 Purchase, 20 October 15,000 $4.25 Inventory, 31 October 20,000 - Required: Determine the cost of goods sold for October under each of the following cost flow assumptions: FIFO Weighted average LIFO
A small firm has a beginning inventory of $52,000 as of January 1, 2020, and the following accounting information. Month Ending Inventory Cost of Goods Sold January 2020 $75,000 $225,000 February 2020 $56,000 $325,000 March 2020 $25,000 $240,000 April 2020 $85,000 $325,000 May 2020 $125,000 $460,000 June 2020 $95,000 $220,000 July 2020 $72,000 $85,000 August 2020 $45,000 $156,000 September 2020 $52,500 $220,000 October 2020 $120,000 $265,000 November 2020 $162,500 $100,000 December 2020 $255,000 $350,000 Compute the monthly inventory turnover ratio for each of the twelve months. What are the annual cost of goods sold and the average inventory for the year? Compute the annual inventory turnover ratio. What can the purchasing department do to improve the firm’s performance?
The following information for Quadrado Corporation relates to the three-month period ending September 30, 2015. Units Priceper Unit Sales 185,000 $ 35 Beginning inventory 35,000 27 Purchases 175,000 29 Ending inventory 25,000 ? Quadrado expects to purchase 225,000 units of inventory in the fourth quarter of 2015 at a cost of $30 per unit, and to have on hand 60,000 units of inventory at year-end. Quadrado uses the last-in, first-out (LIFO) method to account for inventory costs. a. Determine the cost of goods sold and gross profit amounts to record for the three months ending September 30, 2015.
Inventories (Cost Flow under FIFO, LIFO, and AVCO):Problem:Atkinson Inc. had the following inventory flow in March 2020. It follows a perpetual system of cost flow. Date Description Unit and Rate March 01 Beginning inventory 160 units @ $16 each 02 Purchase 380 units @ $17 each 08 Sales 200 units @ $56 each 12 Purchase 100 units @ $19 each 20 Sales 250 units @ $62 each 22 Sales 50 units @ $70 each 26 Purchase 400 units @ $18 each 29 Sales 350 units @ $65 each Prepare inventory cost flow schedules by following FIFO, LIFO, and AVCO. Also, show a condensed Income Statement assuming Selling and Distribution cost to be $16,000 andAdministrative Expense as $12,000. Consider an Income Tax Rate of 30%.
The following are information about purchases and sales for main product of AMEER Inc. for year 2020: ((Beginning inventory)): 6,000 units / $5 each ((Purchases)): - March: 30,000 units / $7 each - August: 14,000 units / $10 each ((Sales)): - April: 35,000 units. - October: 10,000 units. AMEER uses the "Weighted Average method". Required: If you know that AMEER uses the ((periodic inventory system)), compute the "weighted average cost per unit
A company purchased merchandise to be resold at increasing costs during the year 2020. The purchases were made at the following costs January 1,2020 (Carried over from 2019) 20 unit at $10 January 25,2020 purchase 40 unit at $11 June 20, 2020 purchase 40 unit at $12 October 10, 2020 purchase 50 unit at $13 Assuming the LIFO perpetual cost flow assumption, what will be the company's cost of goods sold if 10 units were sold on the last day of each month during the year 2020? Select one:A. $1,460B. $1,386C. $1,416D. $1,410
The Quartz Company has been taking a physical inventory every quarter in order to prepare its quarterly financial statement. The management is interested to know if they have some alternative to find an efficient way of determining the cost of ending inventory for its quarterly reports. You have been given the following information abased on which you are supposed to suggest the management something that will fulfil the requirements. The Quartz Company Partial Income Statement For the year ended Dec 31, 2020 Net Sales $655,000 CGS: Beginning Inventory 80000 Purchases, Net 575000 COGAS…
Current Attempt in Progress Marigold Corp. had 290 units of product A on hand at January 1, 2020, costing $19 each. Purchases of product A during January were as follows: Date Units Unit Cost Jan. 10 380 $20 18 540 21 28 180 22 A physical count on January 31, 2020 shows 410 units of product A on hand. The cost of the inventory at January 31, 2020 under the LIFO method is O $7910. O $7610. O $8790. O $8310. Save for Later Attempts: 0 of 2 used Submit Answer
Shooter, Inc. began operations on September 1, 2020 The following balances are the ACTUAL TOTALS during 2020 (please be aware that 99.99% of the time projected balances are different from what turns out to be actual balances.) Sales - September, 23,000 units, October 21,000 units, November, 22,000 units, December 26,000 units Production - September 28,250 units, October 20,500 units, Nov 22,500 units, December 26,000 units Purchases of Raw Material – Sept 172,000 pounds; Oct 105,500 pounds; Nov 117,750 pounds; December 125,125 pounds Ending Inventory (December 31, 2020), Finished Goods - 6,000 units Ending Inventory (December 31, 2020), Raw Material – 34,125 pounds Accounts Receivable as of December 31, 2020 - $2,035,600 Allowance for Doubtful Accounts as of December 31, 2020 - $128,800 Accounts Payable for raw material purchases, December 31, 2020 - $225,225 Cash Balance on December 31, 2020 - $483.750 Now management for Shooter, Inc. is planning for 2021 and you have been tasked to…