Prepare income statements for the year ended December 31, 2020, as far as the "gross profit" line under each of the FIFO and weighted average methods, and calculate the gross profit rate for each. (Round Gross profit rate to 1 decimal place, e.g. 5.2% and all otheranswers to 2 decimal places, e.g. 52.75.)FIFO$Gross profit rateWeighted AverageGross profit rate%LINK TO ΤΕXTLINK TO TEXT Problem 8-5Bridgeport Limited stocks a variety of sports equipment for sale to institutions. The following stock record card for basketballs was taken from the records at the December 31, 2020 year end:InvoiceUnitsUnit Invoice Gross InvoiceDateNumberTermsReceivedCostAmountJan. 1 balanceNet 30122$20$2,4401510624Net 3070201,400Mar. 15114371/5, net 3080161,2801/10, netJune 2021332110151,65030Sept.1/10, net27644102121,22412301/10, netNov. 243126992111,01230Totals576$9,006A physical inventory on December 31, 2020, reveals that 100 basketballs are in stock. The bookkeeper informs you that all the discounts were taken. Assume that Bridgeport Limited uses a periodic inventory system and records purchases at their invoice price less discounts.During 2020, the average sales price per basketball was $22.25.Calculate the December 31, 2020 inventory using the FIFO formula. (Round answer to 2 decimal places, e.g. 52.75.)Ending inventory $lLINK TO TEXTLINK TO ΤΕXΤCalculate the December 31, 2020 inventory using the weighted average cost formula. (Round weighted average cost per unit and the final answer to 2 decimal places, e.g. 52.75.)Ending inventory $

Problem 8-5 Bridgeport Limited stocks a variety of sports equipment for sale to institutions. The following stock record card for basketballs was taken from the records at the December 31, 2020 year end: Invoice Number Unit Invoice Gross Invoice Units Received Date Terms Cost Amount Jan. 1 balance Net 30 122 $20 $2,440 15 10624 Net 30 70 20 1,400 Mar. 15 11437 1/5, net 30 80 16 1,280 1/10, net 30 June 20 21332 110 15 1,650 Sept. 12 1/10, net 30 27644 102 12 1,224 1/10, net 30 Nov. 24 31269 92 11 1,012 Totals 576 $9,006 A physical inventory on December 31, 2020, reveals that 100 basketballs are in stock. The bookkeeper informs you that all the discounts were taken. Assume that Bridgeport Limited uses a periodic inventory system and records purchases at their invoice price less discount During 2020, the average sales price per basketball was $22.25. Calculate the December 31, 2020 inventory using the FIFO formula. (Round answer to 2 decimal places, e.g. 52.75.) Ending inventory sl LINK TO TEXT LINK TO TEXT Calculate the December 31, 2020 inventory using the weighted average cost formula. (Round weighted average cost per unit and the final answer to 2 decimal places, e.g. 52.75.) Ending inventory s

Problem 8-5 Bridgeport Limited stocks a variety of sports equipment for sale to institutions. The following stock record card for basketballs was taken from the records at the December 31, 2020 year end: Invoice Number Unit Invoice Gross Invoice Units Received Date Terms Cost Amount Jan. 1 balance Net 30 122 $20 $2,440 15 10624 Net 30 70 20 1,400 Mar. 15 11437 1/5, net 30 80 16 1,280 1/10, net 30 June 20 21332 110 15 1,650 Sept. 12 1/10, net 30 27644 102 12 1,224 1/10, net 30 Nov. 24 31269 92 11 1,012 Totals 576 $9,006 A physical inventory on December 31, 2020, reveals that 100 basketballs are in stock. The bookkeeper informs you that all the discounts were taken. Assume that Bridgeport Limited uses a periodic inventory system and records purchases at their invoice price less discount During 2020, the average sales price per basketball was $22.25. Calculate the December 31, 2020 inventory using the FIFO formula. (Round answer to 2 decimal places, e.g. 52.75.) Ending inventory sl LINK TO TEXT LINK TO TEXT Calculate the December 31, 2020 inventory using the weighted average cost formula. (Round weighted average cost per unit and the final answer to 2 decimal places, e.g. 52.75.) Ending inventory s

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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The annual inventory the following information for 20 inch tires. Quantity Date Jan 11 Mar zo Jol 11 Sep 11 Nov 13 Total available for Sale Begining Inventory Purchase Purchase A 112.60 B 120.00 152.00 221.00 Purchase Purchase of Big Wheels INC. Shows. A Answer ky 50 10 40 154 Cost Total 6.50 325 24 30 22.50 22.50 20.50 26.50 If 34 tires were on hand Dec 31 What is the Value of ending inventory using the LIfo method of Inventory pricing ? 205 636 675 900 $2,741
Question 2 Ontario Skateboard Company has the following inventory and purchases during the fiscal year ended December 31, 2020. Beginning Inventory March March 10 purchased 20sold 316 units @$77/unit 202 units @$80/unit 368 units @$147/unit May 13 purchased 271 units @ $73/unit August 5 purchased 268 units @$65/unit September 10sold 556 units @$147/unit Ontario Skateboard Company employs a perpetual inventory system. Required: 1. Calculate the dollar value of ending inventory and cost of goods sold using FIFO: (Do not round intermediate calculations. Round the final answers to 2 decimal places. Round weighted average all unit costs to two decimal places.)
QUESTION 3 EPR Industries is a wholesaler that distributes boxes of toy cars to local shops. Thecompany has a 31 December financial year end. The following inventory transactions occurred during January 2018: January Purchases January Sales1 220 boxes at R220 10 220 boxes at R2863 440 boxes at R231 14 110 boxes at R28616 110 boxes at R236 18 220 boxes at R26425 660 boxes at R249 24 110 boxes at R28628 220 boxes at R253 26 220 boxes at R26429 220 boxes at R264 27 330 boxes at R30831 330 boxes at R308 There was no opening inventory in January 2018.Required:Calculate the gross profit using:3.1. FIFO method (10) 3.2. Weighted average method (10)
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