CASE NO#2- INVENTORY VALUATION METHODSTESCO is a British multinational groceries and general merchandise retailer with headquarters in Welwyn Garden City, Hertfordshire, England, United Kingdom.It is the third-largest retailer in the world measured by gross revenues. It has shops in seven countries across Asia and Europe. It is the market leader of groceriesin the UK, Ireland, Hungary, and Thailand. It provides the following purchases and sales of Merchandise Inventory for the month of June 2020:DateDetailsUnitsUnit PriceOMRJune 2Purchases12,00012,0006,80024,00025,00060020June 5Purchases40030June 9Purchases20034June 15Purchases60040June 22Purchases1,00025Total Purchases2,80079,800DateDetailsUnitsUnit PriceOMRJune 7Sales36,00040,0009,00085,00060060June 17Sales50080June 25Sales20045Total SalesCompany follows Perpetual Inventory System. All purchases and sales are on credit basis.1,300You are requíired to:a) Compute the cost of goods sold and elosing inventory value under FIFO and Weighted Average Method.

Since, there is no information regarding opening inventory, thus, the same has been considered to be…

TESCO is a British multinational groceries and general merchandise retailer with headquarters in Welwyn Garden City, Hertfordshire, England, United Kingdom. It is the third-largest retailer in the world measured by gross revenues. It has shops in seven countries across Asia and Europe. It is the market leader of groceries in the UK, Ireland, Hungary, and Thailand. It provides the following purchases and sales of Merchandise Inventory for the month of June 2020: Date Details Units OMR 12,000 12,000 6,800 24,000 25,000 79,800 Unit Price June 2 Purchases 600 20 June 5 Purchases Purchases 400 30 June 9 200 34 June 15 June 22 Purchases 600 40 Purchases 1,000 25 Total Purchases 2,800 Date Details Units Unit Price OMR June 7 Sales 600 36,000 40,000 9,000 85,000 60 June 17 Sales 500 80 June 25 Sales 200 45 Total Sales 1,300 Company follows Perpetual Inventory System. All purchases and sales are on credit basis. You are required to: a) Compute the cost of goods sold and closing inventory value under FIFO and Weighted Average Method.

TESCO is a British multinational groceries and general merchandise retailer with headquarters in Welwyn Garden City, Hertfordshire, England, United Kingdom. It is the third-largest retailer in the world measured by gross revenues. It has shops in seven countries across Asia and Europe. It is the market leader of groceries in the UK, Ireland, Hungary, and Thailand. It provides the following purchases and sales of Merchandise Inventory for the month of June 2020: Date Details Units OMR 12,000 12,000 6,800 24,000 25,000 79,800 Unit Price June 2 Purchases 600 20 June 5 Purchases Purchases 400 30 June 9 200 34 June 15 June 22 Purchases 600 40 Purchases 1,000 25 Total Purchases 2,800 Date Details Units Unit Price OMR June 7 Sales 600 36,000 40,000 9,000 85,000 60 June 17 Sales 500 80 June 25 Sales 200 45 Total Sales 1,300 Company follows Perpetual Inventory System. All purchases and sales are on credit basis. You are required to: a) Compute the cost of goods sold and closing inventory value under FIFO and Weighted Average Method.

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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