Problem 8-13 (Algo) Dollar-value LIFO [LO8-8]On January 1, 2024, a company adopted the dollar-value LIFO method. The inventory value for its one inventory pool on this date was$390,000. Inventory data for 2024 through 2026 are as follows:Date12/31/202412/31/202512/31/2026DateRequired:Calculate the company's ending inventory for 2024, 2025, and 2026,01/01/202412/31/202412/31/2025Ending Inventory atYear-End Costs$ 430,500484,500510,45012/31/2026Cost Index1.051.141.23Inventory Layers Converted to Base Year CostInventoryLayers atBase YearCostInventory atYear-EndCostYear-EndCostIndexMTaWBaseBase2024Base20242025Base202420252026Inventory Layers Converted to CostYear-EndCostIndexInventoryLayers at BaseYear Cost-M".InventoryLayersConverted toCostInventory DVLCost$$$$0000

Name: Problem 8-13 (Algo) Dollar-value LIFO [LO8-8]On January 1, 2024, a co
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Description: Problem 8-13 (Algo) Dollar-value LIFO [LO8-8]On January 1, 2024, a company adopted the dollar-value LIFO method. The inventory value for its one inventory pool on this date was$390,000. Inventory data for 2024 through 2026 are as follows:Date12/31/2

The inventory can be valued using various methods as LIFO, FIFO and average method. dollar value…

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Problem 8-13 (Algo) Dollar-value LIFO [LO8-8] On January 1, 2024, a company adopted the dollar-value LIFO method. The inventory value for its one inventory pool on this date was $390,000. Inventory data for 2024 through 2026 are as follows: Date 12/31/2024 12/31/2025 12/31/2026 Ending Inventory at Year-End Costs Cost Index $ 430,500 Date 484,500 510,450 Required: Calculate the company's ending inventory for 2024, 2025, and 2026. 1.05 1.14 1.23 Inventory at Year-End Cost Inventory Layers Converted to Base Year Cost Year-End Cost Index Inventory Layers at Base Year Cost Inventory Layers Converted to Cost Year-End Cost Index Inventory Layers at Base Year Cost Inventory Layers Converted to Cost Inventory DVL Cost

Problem 8-13 (Algo) Dollar-value LIFO [LO8-8] On January 1, 2024, a company adopted the dollar-value LIFO method. The inventory value for its one inventory pool on this date was $390,000. Inventory data for 2024 through 2026 are as follows: Date 12/31/2024 12/31/2025 12/31/2026 Ending Inventory at Year-End Costs Cost Index $ 430,500 Date 484,500 510,450 Required: Calculate the company's ending inventory for 2024, 2025, and 2026. 1.05 1.14 1.23 Inventory at Year-End Cost Inventory Layers Converted to Base Year Cost Year-End Cost Index Inventory Layers at Base Year Cost Inventory Layers Converted to Cost Year-End Cost Index Inventory Layers at Base Year Cost Inventory Layers Converted to Cost Inventory DVL Cost

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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2 Required information Problem 8-1 (Static) Various inventory transactions; journal entries [LO8-1, 8-2, 8-3] [The following information applies to the questions displayed below.] Autumn Company began the month of October with inventory of $15,000. The following inventory transactions occurred during the month: a. The company purchased inventory on account for $22,000 on October 12. Terms of the purchase were 2/10 /30 Autumn uses the net method to record purchases. The inventory was shipped f.o.b. shipping point and freight charges of $500 were paid in cash. b. On October 31, Autumn paid for the inventory purchased on October 12. c. During October inventory costing $18,000 was sold on account for $28,000. d. It was determined that inventory on hand at the end of October cost $19,060. Problem 8-1 (Static) Part 1 Required: 1. Assuming Autumn Company uses a perpetual inventory system, prepare journal entries for the above transactions. Note: If no entry is required for a…
Date 01/01/2024 12/31/2024 12/31/2025 12/31/2026 12/31/2027 Inventory Layers Converted to Base Year Cost Inventory at Inventory Year-End Layers at Base Cost Year Cost $ 305,000 $ $ 390,660 402,800 $ 457,960 $ 491,700 305,000 398,473 Inventory Layers Converted to Cost Inventory Layers Converted to Cost Inventory Layers at Base Year Cost Base $ 305,000 $ Base $ 305,000 $ 2024 Base 2024 2025 Base 2024 2025 2026 Base 2024 2025 2026 2027 $ $ 305,000 $ 305,000 $ 305,000 305,000 Inventory DVL Cost 305,000 $ 305,000 $ $ $ 305,000 305,000 0 305,000 305,000
Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system [LO8-1, 8-4] [The following information applies to the questions displayed below.] Altira Corporation provides the following information related to its inventory during the month of August 2024: August 1 Inventory on hand-2,900 units; cost $7.00 each. August 8 Purchased 14,500 units for $6.40 each. Sold 11,600 units for Purchased 8,700 units August 14 $12.90 each. August 18 for $6.00 each. August 25 Sold 10,600 units for $11.90 each. August 28 Purchased 4,900 units for $5.80 each. August 31 Inventory on hand-8,800 units. Exercise 8-14 (Algo) Part 1 Required: 1. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2024, balance sheet and the cost of goods sold it would report in its August 2024 income statement using the FIFO method. Perpetual FIFO: Beginning Inventory Purchases: August 8 August 18 August 28 Total Cost of Goods Available for Sale…
Exercise 9-19 (Algo) Dollar-value LIFO retail [LO9-5] On January 1, 2024, the Brunswick Hat Company adopted the dollar-value LIFO retail method. The following data are available for 2024: Beginning inventory. Net purchases Net markups Net markdowns Net sales Retail price index, 12/31/2024 Cost $ 84,560 127,000 Ending inventory at retail Ending inventory at cost Cost of goods sold Retail $ 151,000 260,000 9,000 15,000 237,000 1.05 Required: Calculate the estimated ending inventory and cost of goods sold for 2024 using the information provided. Note: Do not round intermediate calculations.
Exercise 8-27 (Static) Dollar-value LIFO [LO8-8] Mercury Company has only one inventory pool. On December 31, 2024, Mercury adopted the dollar-value LIFO inventory method. The inventory on that date using the dollar-value LIFO method was $200,000. Inventory data are as follows: Year 2025 2026 2027 Ending Inventory at Year- Ending Inventory at Base End Costs Date 12/31/2024 12/31/2025 Required: Compute the inventory at December 31, 2025, 2026, and 2027, using the dollar-value LIFO method. Note: Round "Year end cost index" to 2 decimal places. 12/31/2026 $ 231,000 299,000 300,000 12/31/2027 Year Costs Inventory at Year- End Cost $ 220,000 260,000 250,000 Inventory Layers Converted to Base Year Cost Year-End Cost Index = = Ending Inventory at Base Year Cost Base Base 2025 Base 2025 2026 Base 2025 2026 2027 Inventory Layers Converted to Cost Ending Inventory at Base Year Cost Year-End Cost Index Inventory Layers Converted to Cost Inventory DVL Cost $ $ $ S 0 0 0 0
Inventory Write-Down ITT Palmquist Company has five different inventory items and applies the inventory valuation rules on an individual item basis. The normal markup on all items is 20% of cost. The following information is obtained from the company's records: Item Units Cost Replacement Cost Net Realizable Value 1 500 $10.00 $ 9.10 $ 9.20 2 400 8.00 8.10 7.80 3 300 15.00 13.50 14.00 4 200 18.00 12.00 17.00 5 100 25.00 25.50 25.30 Required: 1. Assume that Palmquist uses the FIFO cost flow assumption. Compute the correct inventory value under the lower of cost or net realizable value rule. Round your answers to the nearest cent. Lower of Item Cost or NRV $ 2. 3 4 Compute the total inventory value if the lower of cost or net realizable value is applied to each individual item. $ 2. Assume that Palmquist uses the LIFO cost flow assumption. Compute the correct inventory value under the lower of cost or market rule. Round your answers to the nearest cent. Lower of Item Cost or Market 1 2.…
Problem 10-9 (AICPA Adapted)Hero Company reported inventory on December 31, 2020 atP6,000,000 based on a physical count of goods priced at cost,and before any necessary year-end adjustment relating to thefollowing:* Included in the physical count were goods billed to acustomer FOB shipping point on December 31, 2020.These goods had a cost of P125,000 and were picked up bythe carrier on January 10, 2021.Goods shipped FOB shipping point on December 28, 2020from a vendor to Hero Company were received on January4, 2021. The invoice cost was P300,000.What amount should be reported as inventory on December31, 2020?a. 5,875,000b. 6,000,000c. 6,175,000d. 6,300,000
Required information Problem 9-9 (Algo) Retail method-average cost and conventional [LO9-3, 9-4] Skip to question [The following information applies to the questions displayed below.] Smith-Kline Company maintains inventory records at selling prices as well as at cost. For 2024, the records indicate the following data: ($ in thousands) Cost Retail Beginning inventory S 89 $ 134 Purchases 680 1,015 Freight-in on purchases 39 Purchase returns 1 2 Net markups 4 Net markdowns 8 Net sales 925 Problem 9- 9 (Algo) part 2 2. Use the retail method to approximate cost of ending inventory valued under conventional method. Note: Enter your answer in thousands including 2 decimal places, i.e. 12,550 would be 12.55.
Problem 9-10 (Algo) Dollar-value LIFO retail method [LO9-5] Smith-Kline Company maintains inventory records at selling prices as well as at cost. For 2024, the records indicate the following data: Beginning inventory Purchases. Freight-in on purchases Purchase returns Net markups Net markdowns Net sales ($ in 0005) Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold) Cost $ 105 833 40 1 Retail $ 175 1,097 ($ in 000s) 3 م م 5 9 Required: Assuming the price level increased from 1.00 at January 1 to 1.60 at December 31, 2024, use the dollar-value LIFO retail method to approximate cost of ending inventory and cost of goods sold. Note: Round your intermediate and final answers to the nearest whole dollar. Enter your answers in thousands. 926
Brief Exercise 9-8 (Algo) Retail inventory method; LIFO [LO9-3] Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the quarter ending September 30, 2021: Beginning inventory. Net purchases Freight-in Net markups Net markdowns Net sales Cost Retail $440,000 $ 575,000 1,350,000 925,000 62,150 Estimate ending inventory and cost of goods sold (LIFO). (Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.)) Cost-to-retail percentage Beginning inventory Plus: Net purchases Freight-in Net markups Less: Net markdowns Goods available for sale (excluding beg. Inventory) Goods available for sale (including beg. Inventory) Less: Net sales Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold 62,000 32,000 1,270,000 X Answer is complete but not entirely correct. $ $ Cost 440,000 925,000 62,150 987,150…
Problem 10-9 (AICPA Adapted) Hero Company reported inventory on December 31, 2020 at P6,000,000 based on a physical count of goods priced at cost, and before any necessary year-end adjustment relating to the following: Included in the physical count were goods billed to a customer FOB shipping point on December 31, 2020. These goods had a cost of P125,000 and were picked up by the carrier on January 10, 2021. Goods shipped FOB shipping point on December 28, 2020 from a vendor to Hero Company were received on January 4, 2021. The invoice cost was P300,000. What amount should be reported as inventory on December 31, 2020? a. 5,875,000 b. 6,000,000 c. 6,175,000 d. 6,300,000
Subject: accounting Q: A company had annual cost of goods sold for calendar year 2021 of $85,000 Revenues were $200.000. The inventory balance on 12/31/2021 was $19.000 The balance on 12/31/2020 was $16,000 What is the company's days sales in inventory for 20212 (Hint recall that the inventory turnover ratio for this set of data is 5.0.) (Please select only one best answer) • A. 73 0 B. 82 O C. 70 •O D. 76