Ornamental Iron Works began August with 50 units of iron inventory that cost $35 each. During August, the company completed the following inventory transactions: (Click the icon to view the transactions.) Read the requirements. Data table Aug. 3 Aug. 8 Aug. 21 Aug. 30 Sale Purchase Sale Purchase Units 45 90 $ 85 Print 15 Unit Cost 54 58 Done Unit Sales Price $ 85 88 Requirements 1. Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. 2. 3. Prepare a perpetual inventory record for the merchandise inventory using the LIFO inventory costing method. 4. Prepare a perpetual inventory record for the merchandise inventory using the weighted-average inventory costing method. Determine the company's cost of goods sold for August using FIFO, LIFO, and weighted-average inventory costing methods. 5. 6. If the business wanted to maximize gross profit, which method would it select? Compute gross profit for August using FIFO, LIFO, and weighted-average inventory costing methods. -

Ornamental Iron Works began August with 50 units of iron inventory that cost $35 each. During August, the company completed the following inventory transactions: (Click the icon to view the transactions.) Read the requirements. Data table Aug. 3 Aug. 8 Aug. 21 Aug. 30 Sale Purchase Sale Purchase Units 45 90 $ 85 Print 15 Unit Cost 54 58 Done Unit Sales Price $ 85 88 Requirements 1. Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. 2. 3. Prepare a perpetual inventory record for the merchandise inventory using the LIFO inventory costing method. 4. Prepare a perpetual inventory record for the merchandise inventory using the weighted-average inventory costing method. Determine the company's cost of goods sold for August using FIFO, LIFO, and weighted-average inventory costing methods. 5. 6. If the business wanted to maximize gross profit, which method would it select? Compute gross profit for August using FIFO, LIFO, and weighted-average inventory costing methods. -

Name: Ornamental Iron Works began August with 50 units of iron inventory th
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Description: Ornamental Iron Works began August with 50 units of iron inventory that cost $35 each. During August, the company completed the following inventory transactions:(Click the icon to view the transactions.)Read the requirements.Data tableAug. 3Aug. 8Au

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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