Hello, I'm stuck on how to solve part A of this question
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Hello,
I'm stuck on how to solve part A of this question
Transcribed Image Text:(a)
Fill in the missing amounts in the perpetual inventory schedule, assuming the use of the FIFO cost formula.
Ending Inventory
Units
Cost
Total
9,300
$11
$102,300
24
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![Bramble Inc. is trying to determine whether to use the FIFO or average cost formula. The accounting records show the
following selected inventory information:
Purchases
Cost of Goods Sold
Ending Inventory
Date
Units
Cost
Total
Units
Cost
Total
Units
Cost
Total
Oct. 2
9.300
$11 $102.300
9,300
$11 $102,300
15
15,500
13
201,500
(1)
(2)
[3]
[4]
(5)
29
23,800
(6)
[7]
(8]
[9]
[10)
(11)
[12]
(13)
The company accountant has prepared the following partial statement of income to help management understand the
financial statement impact of each cost determination cost formula.
FIFO
Average
Sales
$576,000
$576,000
Cost of goods sold
Gross profit
Operating expenses
192,000
192,000
Income before income tax
Income tax expense (30%)
Net income
(a)
Fill in the missing amounts in the perpetual inventory schedule, assuming the use of the FIFO cost formula.
Purchases
Cost of Goods Sold
Date
Units Cost
Total
Units
Cost
Oct.
9,300 $11 $102,300
2
15
15,500
13
201,500
29
23,800
(total units sold)
%24](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff0a8a8b2-22c4-42fd-96b3-e86c4fe33385%2Fde3ee5ec-c452-4db3-9dbf-617722977665%2Fetej0b_processed.png&w=3840&q=75)
Transcribed Image Text:Bramble Inc. is trying to determine whether to use the FIFO or average cost formula. The accounting records show the
following selected inventory information:
Purchases
Cost of Goods Sold
Ending Inventory
Date
Units
Cost
Total
Units
Cost
Total
Units
Cost
Total
Oct. 2
9.300
$11 $102.300
9,300
$11 $102,300
15
15,500
13
201,500
(1)
(2)
[3]
[4]
(5)
29
23,800
(6)
[7]
(8]
[9]
[10)
(11)
[12]
(13)
The company accountant has prepared the following partial statement of income to help management understand the
financial statement impact of each cost determination cost formula.
FIFO
Average
Sales
$576,000
$576,000
Cost of goods sold
Gross profit
Operating expenses
192,000
192,000
Income before income tax
Income tax expense (30%)
Net income
(a)
Fill in the missing amounts in the perpetual inventory schedule, assuming the use of the FIFO cost formula.
Purchases
Cost of Goods Sold
Date
Units Cost
Total
Units
Cost
Oct.
9,300 $11 $102,300
2
15
15,500
13
201,500
29
23,800
(total units sold)
%24
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