am. 88. cesThe following information pertains to Mason Company for Year 2:Beginning inventory110 units @300 units @$60$64Units purchasedEnding inventory consisted of 80 units. Mason sold 330 units at $128 each. All purchases and sales were made with cash. Operatingexpenses amounted to $4,500.Requireda. Compute the gross margin for Mason Company using the following cost flow assumptions:(1) FIFO(2) LIFO and(3) weighted averageb. What is the amount of net income using FIFO, LIFO, and weighted average? (Ignore income tax considerations.)c. Determine the cash flow from operating activities, using each of the three cost flow assumptions listed in Requirement a. Ignore theeffect of income taxes.

The cost of goods sold is the formula that determines the cost of products sold during the financial…

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Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter5: Inventories And Cost Of Goods Sold

Section: Chapter Questions

Problem 5.23MCE

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Akira Company had the following transactions for the month. Calculate the gross margin for the period for each of the following cost allocation methods, using periodic inventory updating. Assume that all units were sold for $25 each. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Bleistine Company had the following transactions for the month. Calculate the gross margin for the period for each of the following cost allocation methods, using periodic inventory updating. Assume that all units were sold for $50 each. Provide your calculations. A. first-in, first-out (FIFO) B. last-in, first-out (LIFO) C. weighted average (AVG)
Johnson Corporation had beginning inventory of 20,000 at cost and 35,000 at retail. During the year, it made net purchases of 180,000 at cost and 322,000 at retail. Johnson nude sales of 300,000. Assuming a price index of 100 at the beginning of the year and 110 at the end of the year, compute Johnsons ending inventory at cost using the dollar-value LIFO retail method.
Calculate the cost of goods sold dollar value for B67 Company for the month, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for weighted average (AVG).
Black Corporation uses the LIFO cost flow assumption. Each unit of its inventory has a net realizable value of 300, a normal profit margin of 35, and a current replacement cost of 250. Determine the amount per unit that should be used as the market value to apply the lower of cost or market rule to determine Blacks ending inventory.
The following information pertains to Mason Company for Year 2. Beginning inventory 90 units @ $40 Units purchased 310 units @ $45 Ending inventory consisted of 30 units. Mason sold 370 units at $90 each. All purchases and sales were made with cash. Operating expenses amounted to $4,100. a. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average c. Compute the amount of ending inventory using (1) FIFO, (2) LIFO, and (3) weighted average.
Required information [The following information applies to the questions displayed below.] The following information pertains to Mason Company for Year 2 Beginning inventory Units purchased 152 units @ $48 430 units @ $72 Ending inventory consisted of 60 units. Mason sold 522 units at $144 each. All purchases and sales were made with cash. Operating expenses amounted to $4,050. Required a. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 3 decimal places and final answers to the nearest whole dollar amount.) Gross Margin FIFO LIFO Weighted average
of 3 ook ences Required information [The following information applies to the questions displayed below.] The following information pertains to Mason Company for Year 2. 104 units @ $24 334 units @ $36 Beginning inventory Units purchased Ending inventory consisted of 36 units. Mason sold 402 units at $72 each. All purchases and sales were made with cash. Operating expenses amounted to $3,150. Required a. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 3 decimal places and final answers to the nearest whole dollar amount.) FIFO LIFO Weighted average Gross Margin
Required information [The following information applies to the questions displayed below.] The following information pertains to Mason Company for Year 2. Beginning inventory 90 units @ $40 Units purchased 310 units @ $45 Ending inventory consisted of 30 units. Mason sold 370 units at $90 each. All purchases and sales were made with cash. Operating expenses amounted to $4,100. Requireda. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 3 decimal places and final answers to the nearest whole dollar amount.).Calculate the following b. What is the amount of net income using FIFO, LIFO, and weighted average? (Ignore income tax considerations.) (Round cost per unit to 3 decimal places and final answers to the nearest whole dollar amount.) c. Compute the amount of ending inventory using (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 3 decimal…
Hopkins Company reported the following information related to inventory and sales: Units Unit Cost Beginning inventory 2,200 $20 Purchase Number 18, 200 22 Purchase Number 23,200 23 Sales -10,400 units at $35 per unit. Required: Compute the following amounts: sales revenue, cost of goods sold, gross prodit, and balance sheet invenetory for avereage costing method, fifo, and lifo
! Required information [The following information applies to the questions displayed below.] The following information pertains to Mason Company for Year 2: 108 units @ $26 342 units @ $39 Beginning inventory Units purchased Ending inventory consisted of 38 units. Mason sold 412 units at $78 each. All purchases and sales were made with cash. Operating expenses amounted to $3,225. Required a. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. Note: Round cost per unit to 3 decimal places and final answers to the nearest whole dollar amount. FIFO LIFO Weighted average Gross Margin
V Company's net income computed by the Full Costing Method was Php6,400.00 and its net income computed by the Variable Costing Method was Php9,100.00. The company's unit cost was Php17.00 under Variable Costing Method and Php20.00 under Full Costing Method. If ending inventory consisted of 2,100 units, the beginning inventory in units must have been? 1,200 units O 4,800 units 2,100 units 3,000 units

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