Mower-Blower Sales Co. started business on January 20, 2016.Products sold were snow blowers and lawn mowers.Each product sold for $1,400.Purchases during 2016 were as follows:BlowersMowersJanuary 2120@$800February 340 @780February 2830760March 1320 @ 760April 620@$840May 2240860June 340 @880June 2060920August 1520860September 2020840November 720@800The December 31, 2016 inventory included 10 blowers and 25 mowers.Assume the company uses a periodic inventory system.Required:Compute ending inventory valuation at December 31, 2016 under:a) FIFOb) LIFO(Hint: Compute ending inventory under each method, and then compareresults.)

LIFO (Last-In, First-Out)LIFO assumes that the most recent inventory items are sold first.…

Answered: Mower-Blower Sales Co. started business…

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter9: Sales And Purchases

Section: Chapter Questions

Problem 9E: Williams Corporation had the following purchases for May: May 3Bought ten lawn rakes from Owens...

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am. 156.
The Shirt Shop had the following transactions for T-shirts for 2018, its first year of operations: $ 9 @ $11 @ $12 = @ $13 440 units $3,960 1,430 2,880 Jan. 20 Purchased Apr. 21 July 25 Sept. 19 Purchased 130 units Purchased 240 units Purchased 70 units 910 %3D During the year, The Shirt Shop sold 710 T-shirts for $18 each. Required a. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. Round intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount. Weighted Average FIFO LIFO Ending inventory Il || ||II
Linden Inc. purchased 10 merchandise inventory items at a total cost of $4,000 to add to its inventory on February 21, 2015. It started the month with 10 items at a total cost of $3,000. If the company used FIFO, what is the cost of goods sold if it sold 11 items in February. a. $3,850 b. $3,400 c. $3,500 d. $4,000
Tool Depot sells the latest selection of power tools and uses a perpetual inventory system. The following is information on the purchases and sales of the power drills, "M1500." On November 1, Tool Depot had 150 units with a unit cost of $49. Date Nov. 4 Nov. 6 Nov. 16 Nov. 20 Nov. 24 Nov. 28 Nov. 30 Units 200 350 150 Purchases Unit Cost 47 45 40 Units 100 275 250 100 Sales Unit Price $100 $100 $110 $110 Required 1. Calculate the dollar value of ending inventory and cost of goods sold using FIFO
TUGAS KELOMPOK Jimenez Corporation manufactures and sells two types of decorative lamps, Knox and Ayer. The following data are available for the year 2017. The numbers below repre- sent the calculations from the previous Try It! examples (6-1 through 6-4) together with the relevant schedule numbers from those examples. 6-5 Revenues (Schedule 1) $925,000 Beginning inventory of finished goods (1-1-2017) Ending inventory of finished goods, 12-31-2017 (Schedule 6B) Direct materials used (Schedule 3A) 76,200 59,300 350,000 Direct manufacturing labor (Schedule 4) Manufacturing overhead (Schedule 5) Variable marketing costs (4% of revenues) Fixed marketing costs 100,000 143,000 43,000 Variable distribution costs (S1.50 per cu. ft. for 30,000 cu. ft.) Fixed distribution costs 40,000 Fixed administration costs 75,000 Calculate (1) the cost of goods sold budget (label it Schedule 7); (2) the nonmanufactur- ing costs budget (label it Schedule 8); and (3) the operating income budget for the year…
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The following is a record of Ensberg Company's transactions for Colt Products for the month of May 2017. May 1 Balance 12 28 600 units@ $10.00 May 10 Sale Purchase 900 units@ $12.00 20 Purchase 600 units@ $15.00 450 units @ $19 Sale 810 units @ $19 (a) Assuming that perpetual inventories are not maintained and that a physical count at the end of the month shows 840 units on hand, what is the cost of the ending inventory using (1) FIFO and (2) LIFO? (b) Assuming that perpetual records are maintained and they tie into the general ledger, calculate the ending inventory using (1) FIFO and (2) LIFO.
Harry Gryffindor incorporated Harry's Pottery on March 1, 20x7. Harry's Pottery is a merchandising company located in Hogwarts Station, MD. During his first month of operations Harry reported the following data related to his purchases for his only product: In addition, Harry made one sale on March 15 when he sold 28 customized cauldrons to Rowena Ravenclaw for $50 each. Purchases on March 7 Purchases on March 14 Purchases on March 21 Harry Gryffindor made one sale on March 15 when he sold 28 customized cauldrons to Rowena Ravenclaw for $50 each. Assuming that Harry uses a perpetual inventory system, use the information provided above to calculate ending inventory on March 30 if Harry uses the weighted average method to assign costs to inventory. (Round your per unit costs to 2 decimal places.) Weighted Average - Perpetual: Date March 7 March 14 Average cost March 15 March 21 Average cost # of units Goods purchased Cost per unit 18 @ $20.00 32 @ $30.00 28 @ $36.00 18 units @ $20.00…
Sold items on credit to Pikea. Some of these items were previously ordered on 13 January, Customer PO#2426. Forwarded Invoice #3145 and delivered the following items to Pikea: 6 units BG90 plasma televisions for $2,310 each (includes 10% GST) 13 units MePod multimedia players for $1,870 each (includes 10% GST) 2 units ZII game consoles for $2,530 each (includes 10% GST). 23 Jerry Technology returned 2 units BlueBerry phones that were originally purchased on 16 January, for $1,320 each (includes 10% GST) original Invoice #3146. Julia issued a credit note (negative invoice) #3147 for the return of the above items and applied that credit note to the original invoice. 23 Returned 3 faulty BG90 plasma televisions that were purchased on 9 January (original Purchase #316) for $1,463 each (includes 10% GST). The reference number for this purchase return is Purchase #319. Big Telco authorised the return and issued credit note Supplier Inv#VCM0001 which is to be applied to Invoice No. 256. 30…
The following is a record of Ensberg Company's transactions for Colt Products for the month of May 2017. May 1 Balance 12 28 600 units@ $10.00 May 10 Purchase 900 units@ $12.00 20 Purchase 600 units@ $15.00 Sale 450 units @ $19 Sale 810 units @ $19 (a) Assuming that perpetual inventories are not maintained and that a physical count at the end of the month shows 840 units on hand, what is the cost of the ending inventory using (1) FIFO and (2) LIFO? (b) Assuming that perpetual records are maintained and they tie into the general ledger, calculate the ending inventory using (1) FIFO and (2) LIFO. Tom Terry manufactures an intricately detailed plastic and metal toy airplane. The following unit cost data pertain to the unit cost of an airplane: Direct materials Direct labor $ 5.00 12.00 Manufacturing overhead (50% fixed) 10.00 Total manufacturing costs $27.00 Assume that the airplane can be purchased from an outside supplier. What is the relevant unit cost for this make-or-buy decision? a.…
Required information (The following information applies to the questions displayed below.) The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations. January 20 April 21 July 25 September 19 Purchased 4800 units es 8 Purchased 200 units e $10 Purchased 280 units @ $13 Purchased 90 units @ $15 $3, 200 2, e00 3,640 1,350 During the year, The Shirt Shop sold 810 T-shirts for $20 each. b. Record the above transactions in general journal form and post to T-accounts assuming (1) FIFO, (2) LIFO, and (3) weighted-average methods. Use a separate set of journal entries and T-accounts for each method. Assume all transactions are cash transactions.
Kelley Company began business on January 1, 20-1. Purchases and sales during the month of January are shown. Date Purchases Sales Units Cost/Unit Units Jan. 1 110 $1.00 Jan. 4 410 1.10 Jan. 5 320 Jan. 10 300 1.20 Jan. 12 200 Jan. 15 180 1.30 Jan. 18 510 1.50 Jan. 22 790 Jan. 27 90 Jan. 31 320 1.60 Required: Calculate the total amount to be assigned to cost of goods sold for January and the ending inventory on January 31, under each of the following methods. In your calculations round the average unit cost to four decimal places and answers to the nearest cent. Cost of Goods Sold Inventory on Hand 1. Perpetual LIFO inventory method $fill in the blank 1 $fill in the blank 2 2. Perpetual moving-average inventory method $fill in the blank 3 $fill in the blank 4

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