Salt and Mineral (SAM) began 2024 with 320 units of its one product. These units were purchased near the end of 2023 for $24 each.During the month of January, 160 units were purchased on January 8 for $27 each and another 320 units were purchased on January19 for $29 each. Sales of 215 units and 180 units were made on January 10 and January 25, respectively. There were 405 units onhand at the end of the month. SAM uses a perpetual inventory system.Required:1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO.2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost.Complete this question by entering your answers in the tabs below.Required 1Required 2Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO.Answer is not complete.Cost of Goods Available for SaleCost of Goods Sold - January 10Cost of Goods Sold - January 25Inventory BalancePerpetual FIFOCostNumber ofNumberNumber ofunitsCost perunitCost of GoodsAvailable for Saleof unitssoldCostper unitofGoodsSoldNumber ofunits soldCost perunitCost ofGoodsunits inSoldendingCostper unitEndingInventoryinventoryBeginning Inventory320 $ 24.00$7,680215$ 24.00$ 5,160$ 24.00$0$ 24.00$0Purchases:January 816027.004,320January 1932029.009,280027.0029.00027.00027.000029.00032029.009,280Total80021,280215$ 5,16000320$9,280< Required 1Required 2 >

Lets understand the basics.Ending inventory and cost of goods sold can be calculated using,(1)…

Salt and Mineral (SAM) began 2024 with 320 units of its one product. These units were purchased near the end of 2023 for $24 each. During the month of January, 160 units were purchased on January 8 for $27 each and another 320 units were purchased on January 19 for $29 each. Sales of 215 units and 180 units were made on January 10 and January 25, respectively. There were 405 units on hand at the end of the month. SAM uses a perpetual inventory system. Required: 1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. 2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Answer is not complete.

Salt and Mineral (SAM) began 2024 with 320 units of its one product. These units were purchased near the end of 2023 for $24 each. During the month of January, 160 units were purchased on January 8 for $27 each and another 320 units were purchased on January 19 for $29 each. Sales of 215 units and 180 units were made on January 10 and January 25, respectively. There were 405 units on hand at the end of the month. SAM uses a perpetual inventory system. Required: 1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. 2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Answer is not complete.

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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Question

Salt and Mineral (SAM) began 2024 with 320 units of its one product. These units were purchased near the end of 2023 for $24 each.
During the month of January, 160 units were purchased on January 8 for $27 each and another 320 units were purchased on January
19 for $29 each. Sales of 215 units and 180 units were made on January 10 and January 25, respectively. There were 405 units on
hand at the end of the month. SAM uses a perpetual inventory system.
Required:
1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO.
2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost.
Complete this question by entering your answers in the tabs below.
Required 1
Required 2
Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO.
Answer is not complete.
Cost of Goods Available for Sale
Cost of Goods Sold - January 10
Cost of Goods Sold - January 25
Inventory Balance
Perpetual FIFO
Cost
Number of
Number
Number of
units
Cost per
unit
Cost of Goods
Available for Sale
of units
sold
Cost
per unit
of
Goods
Sold
Number of
units sold
Cost per
unit
Cost of
Goods
units in
Sold
ending
Cost
per unit
Ending
Inventory
inventory
Beginning Inventory
320 $ 24.00
$
7,680
215
$ 24.00
$ 5,160
$ 24.00
$
0
$ 24.00
$
0
Purchases:
January 8
160
27.00
4,320
January 19
320
29.00
9,280
0
27.00
29.00
0
27.00
0
27.00
0
0
29.00
0
320
29.00
9,280
Total
800
21,280
215
$ 5,160
0
0
320
$
9,280
< Required 1
Required 2 >

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