Prepare partial income statements for 2022 through gross profit, under each of the following cost flow assumptions. (Round answers to 2 decimal places, e.g. 125.25) (1) Specific identification method assuming 0) The March 5 sale consisted of 1,000 liters from the March 1 beginning inventory and 1,300 liters from the March 3 purchase; and (i) The March 30 sale consisted of the following number of units sold from beginning inventory and each purchase: 450 liters from March 1: 550 liters from March 3: 2.900 liters from March 10; 1,300 liters from March 20 (2) FIFO (3) LIFO
Prepare partial income statements for 2022 through gross profit, under each of the following cost flow assumptions. (Round answers to 2 decimal places, e.g. 125.25) (1) Specific identification method assuming 0) The March 5 sale consisted of 1,000 liters from the March 1 beginning inventory and 1,300 liters from the March 3 purchase; and (i) The March 30 sale consisted of the following number of units sold from beginning inventory and each purchase: 450 liters from March 1: 550 liters from March 3: 2.900 liters from March 10; 1,300 liters from March 20 (2) FIFO (3) LIFO
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Prepare partial income statements for 2022 through gross profit, under each of the following cost flow assumptions. (Round
answers to 2 decimal places, e.g. 125.25.)
(1) Specific identification method assuming
0) The March 5 sale consisted of 1,000 liters from the March 1 beginning inventory and 1,300 liters from the March 3
purchase; and
(i) The March 30 sale consisted of the following number of units sold from beginning inventory and each purchase:
450 liters from March 1: 550 liters from March 3: 2.900 liters from March 10, 1,300 liters from March 20
(2) FIFO
(3) LIFO
Sales revenue,
Beginning inventory
5
SWIFTYINC.
Income Statement (partial)
For the Year Ended December 31, 2022
Specific Identification
8.915
FIFO
0.915
LIFO
0,91](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F41481240-7b92-4706-94db-345d170e3048%2F316c4e7a-d9df-4c9e-a018-ebbb109dd32a%2F7iayt9_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Prepare partial income statements for 2022 through gross profit, under each of the following cost flow assumptions. (Round
answers to 2 decimal places, e.g. 125.25.)
(1) Specific identification method assuming
0) The March 5 sale consisted of 1,000 liters from the March 1 beginning inventory and 1,300 liters from the March 3
purchase; and
(i) The March 30 sale consisted of the following number of units sold from beginning inventory and each purchase:
450 liters from March 1: 550 liters from March 3: 2.900 liters from March 10, 1,300 liters from March 20
(2) FIFO
(3) LIFO
Sales revenue,
Beginning inventory
5
SWIFTYINC.
Income Statement (partial)
For the Year Ended December 31, 2022
Specific Identification
8.915
FIFO
0.915
LIFO
0,91
![You have the following information for Swifty Inc. Swifty Inc. uses the periodic method of accounting for its inventory transactions.
March
1 Beginning inventory 2,200 liters at a cost of 50¢ per liter.
March
3
Purchased 2,500 liters at a cost of 54¢ per liter.
March 5
Sold 2,300 liters for $1.05 per liter.
March 10
Purchased 4,000 liters at a cost of 61e per liter.
Purchased 2,400 liters at a cost of 69¢ per liter.
Sold 5,200 liters for $1.25 per liter.
March 20
March 30](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F41481240-7b92-4706-94db-345d170e3048%2F316c4e7a-d9df-4c9e-a018-ebbb109dd32a%2Fkkhgu4_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You have the following information for Swifty Inc. Swifty Inc. uses the periodic method of accounting for its inventory transactions.
March
1 Beginning inventory 2,200 liters at a cost of 50¢ per liter.
March
3
Purchased 2,500 liters at a cost of 54¢ per liter.
March 5
Sold 2,300 liters for $1.05 per liter.
March 10
Purchased 4,000 liters at a cost of 61e per liter.
Purchased 2,400 liters at a cost of 69¢ per liter.
Sold 5,200 liters for $1.25 per liter.
March 20
March 30
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Step 1: Methods of inventory valuation (Periodic inventory system) :
VIEWStep 2: Calculation of ending inventory by using specific identification method :
VIEWStep 3: Calculation of ending inventory by using FIFO method :
VIEWStep 4: Calculation of ending inventory by using LIFO method:
VIEWStep 5: Preparation of partial income statement through gross profit:
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