Schwenn Cycles uses the FIFO inventory method to prepare a perpetual inventory record. Schwenn started June with five bicycles that cost $190 each. On June 16, Schwenn bought 20 bicycles at $200 each. On June 30, Schwenn sold 15 bicycles. Use the above data to journalize: a. The June 16 purchase of inventory on account. b. The June 30 sale of inventory on account. Schwenn sold each bicycle for $240. c. Cost of goods sold under FIFO.
Schwenn Cycles uses the FIFO inventory method to prepare a perpetual inventory record. Schwenn started June with five bicycles that cost $190 each. On June 16, Schwenn bought 20 bicycles at $200 each. On June 30, Schwenn sold 15 bicycles. Use the above data to journalize: a. The June 16 purchase of inventory on account. b. The June 30 sale of inventory on account. Schwenn sold each bicycle for $240. c. Cost of goods sold under FIFO.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Schwenn Cycles uses the FIFO inventory method to prepare a perpetual inventory record. Schwenn started June with five bicycles that cost $190 each. On June 16, Schwenn bought 20 bicycles at
$200 each. On June 30, Schwenn sold 15 bicycles. Use the above data to journalize:
a. The June 16 purchase of inventory on account.
b. The June 30 sale of inventory on account. Schwenn sold each bicycle for $240.
c. Cost of goods sold under FIFO.
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