Exercise 6-5A Calculate inventory amounts when costs are declining (LO6-3)Skip to question [The following information applies to the questions displayed below.] During the year, Trombley Incorporated has the following inventory transactions. DateTransactionNumberof UnitsUnitCostTotal CostJan.1Beginning inventory 30 $32 $960 Mar.4Purchase 35 31 1,085 Jun.9Purchase 40 30 1,200 Nov.11Purchase 40 28 1,120 145 $4,365 For the entire year, the company sells 111 units of inventory for $40 each.1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.

Name: Exercise 6-5A Calculate inventory amounts when costs are declining (LO
Uploaded: 2024-03-20T06:32:37.000Z
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Description: Exercise 6-5A Calculate inventory amounts when costs are declining (LO6-3)Skip to question [The following information applies to the questions displayed below.] During the year, Trombley Incorporated has the following inventory transactions. DateTran

Formula: Gross profit = Sales revenue - Cost of goods sold

Answered: During the year, Trombley Incorporated…

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Exercise 6-5A Calculate inventory amounts when costs are declining (LO6-3)

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[The following information applies to the questions displayed below.]

During the year, Trombley Incorporated has the following inventory transactions.

Date	Transaction	Number of Units	Unit Cost	Total Cost
Jan.	1	Beginning inventory		30	$	32	$	960
Mar.	4	Purchase		35		31		1,085
Jun.	9	Purchase		40		30		1,200
Nov.	11	Purchase		40		28		1,120
				145			$	4,365

For the entire year, the company sells 111 units of inventory for $40 each.

1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.

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