(Learning Objectives 1, 2: Show how to account for inventory transactions; applythe FIFO cost method) Accounting records for Jubilee Corporation yield the following datafor the year ended June 30, 2018 (assume sales returns are non-existent):Inventory, June 30, 2017.......................................................................... $ 7,000Purchases of inventory (on account)......................................................... 61,000Sales of inventory—77% on account; 23% for cash (cost $49,000).........Inventory at FIFO, June 30, 2018 ............................................................100,00019,000Requirements1. Journalize Jubilee’s inventory transactions for the year under the perpetual system.2. Report ending inventory, sales, cost of goods sold, and gross profit on the appropriatefinancial statement.
(Learning Objectives 1, 2: Show how to account for inventory transactions; apply
the FIFO cost method) Accounting records for Jubilee Corporation yield the following data
for the year ended June 30, 2018 (assume sales returns are non-existent):
Inventory, June 30, 2017.......................................................................... $ 7,000
Purchases of inventory (on account)......................................................... 61,000
Sales of inventory—77% on account; 23% for cash (cost $49,000).........
Inventory at FIFO, June 30, 2018 ............................................................
100,000
19,000
Requirements
1. Journalize Jubilee’s inventory transactions for the year under the perpetual system.
2. Report ending inventory, sales, cost of goods sold, and gross profit on the appropriate
financial statement.
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