Problem 1 Inventory data for Williams Door Products Co. for the month of October are as follows: 40 units at $130 each 50 units at $132 each 60 units at $134each October 1 balance October 8 purchase October 22 purchase October 15 sale 70 units at $140 each 75 units at $145 each October 29 sale Physical count on October 31 showed that there are 5 units of inventory on hand. Required: 1. Prepare journal entries to record purchases and sales of inventory (all for cash), assuming that Williams Door Co. uses a periodic inventory system, and FIFO inventory valuation method; 2. Prepare the adjusting entry/entries needed as of October 31, 2009. Show supporting calculations!
Problem 1 Inventory data for Williams Door Products Co. for the month of October are as follows: 40 units at $130 each 50 units at $132 each 60 units at $134each October 1 balance October 8 purchase October 22 purchase October 15 sale 70 units at $140 each 75 units at $145 each October 29 sale Physical count on October 31 showed that there are 5 units of inventory on hand. Required: 1. Prepare journal entries to record purchases and sales of inventory (all for cash), assuming that Williams Door Co. uses a periodic inventory system, and FIFO inventory valuation method; 2. Prepare the adjusting entry/entries needed as of October 31, 2009. Show supporting calculations!
Chapter1: Financial Statements And Business Decisions
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Problem 1
Inventory data for Williams Door Products Co. for the month of October are as follows:
October 1 balance
40 units at $130 each
50 units at $132 each
60 units at $134each
October 8 purchase
October 22 purchase
October 15 sale
70 units at $140 each
October 29 sale
75 units at $145 each
Physical count on October 31 showed that there are 5 units of inventory on hand.
Required:
1. Prepare journal entries to record purchases and sales of inventory (all for cash), assuming that Williams Door
Co. uses a periodic inventory system, and FIFO inventory valuation method;
2. Prepare the adjusting entry/entries needed as of October 31, 2009. Show supporting calculations!](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F866460fe-4d40-4129-b906-aa898da34587%2F132d7f4b-1408-4dcd-9c51-81bf30a41467%2Fsdu7jv_processed.png&w=3840&q=75)
Transcribed Image Text:culations!
Problem 1
Inventory data for Williams Door Products Co. for the month of October are as follows:
October 1 balance
40 units at $130 each
50 units at $132 each
60 units at $134each
October 8 purchase
October 22 purchase
October 15 sale
70 units at $140 each
October 29 sale
75 units at $145 each
Physical count on October 31 showed that there are 5 units of inventory on hand.
Required:
1. Prepare journal entries to record purchases and sales of inventory (all for cash), assuming that Williams Door
Co. uses a periodic inventory system, and FIFO inventory valuation method;
2. Prepare the adjusting entry/entries needed as of October 31, 2009. Show supporting calculations!
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