Required information[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-2,000 units; cost $5.30 each.August 8 Purchased 8,000 units for $5.50 each.August 14 Sold 6,000 units for $12.00 each.August 18 Purchased 6,000 units for $5.60 each.August 25 Sold 7,000 units for $11.00 each.August 28 Purchased 4,000 units for $5.80 each.August 31 Inventory on hand-7,000 units.2. 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 Average cost method.Note: Round "Average Cost per Unit" to 2 decimal places.Perpetual AverageBeginning InventoryPurchase - August 8Sale - August 14Purchase - August 18Sale - August 25Purchase - August 28TotalInventory on handNumber Cost per InventoryValueof unitsunit0$0Cost of Goods SoldAverageCost perunitNumberof unitssoldCost ofGoods Sold$0Inventory BalanceCost perunitNumber ofunits ininventory000Endinginventory$$000

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Description: Required information[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-2,000 units; cost $5.3

When the average costing approach is utilized within a perpetual inventory system, every time an…

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Required information [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-2,000 units; cost $5.30 each. August 8 Purchased 8,000 units for $5.50 each. August 14 Sold 6,000 units for $12.00 each. August 18 Purchased 6,000 units for $5.60 each. August 25 Sold 7,000 units for $11.00 each. August 28 Purchased 4,000 units for $5.80 each. August 31 Inventory on hand-7,000 units.

Required information [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-2,000 units; cost $5.30 each. August 8 Purchased 8,000 units for $5.50 each. August 14 Sold 6,000 units for $12.00 each. August 18 Purchased 6,000 units for $5.60 each. August 25 Sold 7,000 units for $11.00 each. August 28 Purchased 4,000 units for $5.80 each. August 31 Inventory on hand-7,000 units.

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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Seminole Company began the year with 23,000 units of product in its January 1 inventory costing $15.60 each. It made four purchases of its product during the year as follows. The company uses a periodic inventory system. On December 31, a physical count reveals that 41,000 units of its product remain in inventory. March 7 May 25 August 1 November 10 34,000 units @ $18.60 each 36,000 units @ $22.60 each 26,000 units @ $24.60 each 36,000 units @ $27.60 each Required: 1. Compute the number and total cost of the units available for sale during the year. 2. Compute the amounts assigned to ending inventory and the cost of goods sold using (a) FIFO, (b) LIFO, and (c) weighted average. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the number and total cost of the units available for sale during the year. Total units available for sale Total cost of units available for sale units
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. August 14 Sold 11,600 units for $12.90 each. August 18 Purchased 8,700 units 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. 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 last-in, first-out (LIFO). Cost of Goods Available for Sale Cost of Goods Sold - August 14 Cost of Goods Sold - August 25 Inventory Balance Perpetual LIFO: Number of units Cost per unit Cost of Goods Available for Sale Number of Cost Cost of units sold per unit Goods Sold Number of units sold Cost per unit Cost of Goods…
Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021: Aug.1 Inventory on hand-3,300 units; cost $7.40 each. 8 Purchased 16,500 units for $6.80 each. 14 Sold 13,200 units for $13.30 each. 18 Purchased 9,900 units for $6.20 each. 25 Sold 12,200 units for $12.30 each. 28 Purchased 5,300 units for $5.80 each. 31 Inventory on hand-9,600 units. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using last-in, first-out (LIFO). Perpetual LIFO: Beg. Inventory Purchases: August 8 August 18 August 28 Total Cost of Goods Available for Sale Cost per unit 3,300 $7.40 $ # of units 16,500 6.80 9,900 6.20 5.8 5,300 35,000 Cost of Goods Available for Sale $ 24,420 112,200 61,380 30,740 228,740 Cost of Goods Sold - August 14 # of units sold 0 Cost per unit Cost…
Ivanhoe Company uses a perpetual inventory system. The company began 2024 with 1,100 lamps in inventory at a cost of $10 per unit. During 2024, Ivanhoe had the following purchases and sales of lamps: February 15 April 24 June 6 October 18 December 4 Purchased Sold Purchased Sold Purchased 2,200 units @ $16 per unit 2,750 units @ $28 per unit 3,850 units @ $21 per unit 2,200 units @ $31 per unit 1,540 units @ $24 per unit All purchases and sales are on account.
Altira Corporation provides the following information related to its inventory during the month of August 2024: August 1 Inventory on hand—2,300 units; cost $6.40 each. August 8 Purchased 11,500 units for $5.80 each. August 14 Sold 9,200 units for $12.30 each. August 18 Purchased 6,900 units for $5.00 each. August 25 Sold 8,200 units for $11.30 each. August 28 Purchased 4,300 units for $5.80 each. August 31 Inventory on hand—7,600 units. 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.
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2. Calculate January's ending inventory and cost of goods sold for the month using LIFO, periodic system.
Soler Company uses the periodic method to account for inventory. At the beginning of the year, Soler had 300 units of inventory that cost $45 (you need to include this inventory in your count when answering the questions below). Soler had the following inventory purchases throughout the period: First 250 units @ $50 = $12,500 Second 430 units @ $52 = $22,360 Third 325 units @ $55 = $17,875 Fourth 205 units @ $57 = $11,685 Throughout the year, Soler sold 1,025 units for $120 per unit. Using the information above, complete the following: 1. Assume that Soler uses the FIFO method to account for inventory and the current Net Realizable Value for the inventory is $25,100. At what amount would Soler report this inventory on its Balance Sheet, assuming that they elect to report at the Lower of Cost or Net Realizable Value? (To solve for this, compare ending…
I Required information [The following information applies to the questions displayed below.] Frigid Supplies reported beginning inventory of 200 units, for a total cost of $2,000. The company had the following transactions during the month: January 3 Sold 20 units on account at a selling price of $15 per unit. January 6 Bought 30 units on account at a cost of $10 per unit. January 16 Sold 30 units on account at a selling price of $15 per unit. January 19 Sold 20 units on account at a selling price of $20 per unit. January 26 Bought 10 units on account at a cost of $10 per unit. January 31 Counted inventory and determined that 160 units were on hand. 3-a. What is the dollar amount of shrinkage that you were able to determine in periodic inventory system? 3-b. What is the dollar amount of shrinkage that you were able to determine in perpetual inventory system? Periodic inventory system Perpetual inventory system Amount of shrinkage
Altira Corporation provides the following information related to its merchandise inventory during the month of August 2021: Aug.1 Inventory on hand—4,000 units; cost $7.30 each. 8 Purchased 20,000 units for $7.50 each. 14 Sold 16,000 units for $14.00 each. 18 Purchased 12,000 units for $7.60 each. 25 Sold 15,000 units for $13.00 each. 28 Purchased 6,000 units for $5.80 each. 31 Inventory on hand—11,000 units. Required:Using calculations based on a periodic inventory system, determine the inventory balance Altira would report in its August 31, 2021, balance sheet and the cost of goods sold it would report in its August 2021 income statement using FIFO.
The following are information about purchases and sales for main product of AMEER Inc. for year 2020: ((Beginning inventory)): 6,000 units / $5 each ((Purchases)): - March: 30,000 units / $7 each - August: 14,000 units / $10 each ((Sales)): - April: 35,000 units. - October: 10,000 units. AMEER uses the "Weighted Average method". Required: If you know that AMEER uses the ((periodic inventory system)), compute the "weighted average cost per unit
In 2018, Mona Inc. started operations with an inventory costing P20,000. For the 2nd quarter of 2018, the purchase and sales were as follows: April May June TotalPurchases P5,000 P38,000 P70,400 P113,400Sales 24,000 51,000 75,500 150,500 The goods are sold at a gross profit of 20% of sales. For interim statement purposes, the inventory at the end of April, May and June, respectively are