Phillips Supply uses a periodic inventory system but needs to determine the approximate amount of inventory at the end of each month without taking a physical inventory. Phillips has provided the following inventory data: Inventory of merchandise, June 30 Purchases during July Goods available for sale during July Net sales during July Required: Cost Price $ 309,000 223,000 $ 532,000 Estimated cost of goods sold Estimated ending inventory Retail Selling Price: $ 507,000 402,000 $ 909,000 $360,000 a. Estimate the cost of goods sold and the cost of the July 31 ending inventory using the retail method of evaluation. Note: Round your intermediate calculations to 2 decimal places.
Phillips Supply uses a periodic inventory system but needs to determine the approximate amount of inventory at the end of each month without taking a physical inventory. Phillips has provided the following inventory data: Inventory of merchandise, June 30 Purchases during July Goods available for sale during July Net sales during July Required: Cost Price $ 309,000 223,000 $ 532,000 Estimated cost of goods sold Estimated ending inventory Retail Selling Price: $ 507,000 402,000 $ 909,000 $360,000 a. Estimate the cost of goods sold and the cost of the July 31 ending inventory using the retail method of evaluation. Note: Round your intermediate calculations to 2 decimal places.
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Phillips Supply uses a periodic inventory system but needs to determine the approximate amount of inventory at the end of each
month without taking a physical inventory. Phillips has provided the following inventory data:
Retail Selling
Price
$ 507,000
402,000
$ 909,000
$360,000
Inventory of merchandise, June 30
Purchases during July
Goods available for sale during July
Net sales during July
Required:
Cost Price
$ 309,000
223,000
$ 532,000
a. Estimate the cost of goods sold and the cost of the July 31 ending inventory using the retail method of evaluation.
Note: Round your intermediate calculations to 2 decimal places.
Estimated cost of goods sold
Estimated ending inventory
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