Question Content Area Three identical units of merchandise were purchased during July, as follows: Date Product Basic H Units Cost July 3 Purchase 1 $20     10 Purchase 1   23     24 Purchase 1   26   Total 3 $69   Average cost per unit   $23 Assume one unit sells on July 28 for $34. Determine the gross profit, cost of goods sold, and ending inventory on July 31 using the (a) first-in, first-out, (b) last-in, first-out, and (c) weighted average cost flow methods. Line Item Description Gross Profit Cost of Goods Sold Ending Inventory a. First-in, first-out $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 b. Last-in, first-out $fill in the blank 4 $fill in the blank 5 $fill in the blank 6 c. Weighted average $fill in the blank 7 $fill in the blank 8 $fill in the blank 9

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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    Three identical units of merchandise were purchased during July, as follows:

    Date Product Basic H Units Cost
    July 3 Purchase 1 $20
        10 Purchase 1   23
        24 Purchase 1   26
      Total 3 $69
      Average cost per unit   $23

    Assume one unit sells on July 28 for $34.

    Determine the gross profit, cost of goods sold, and ending inventory on July 31 using the (a) first-in, first-out, (b) last-in, first-out, and (c) weighted average cost flow methods.

    Line Item Description Gross Profit Cost of Goods Sold Ending Inventory
    a. First-in, first-out $fill in the blank 1 $fill in the blank 2 $fill in the blank 3
    b. Last-in, first-out $fill in the blank 4 $fill in the blank 5 $fill in the blank 6
    c. Weighted average $fill in the blank 7 $fill in the blank 8 $fill in the blank 9
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