The accounting records of Wall's China Shop reflected the following balances as of January 1, Year 2: Cash Beginning inventory Common stock Retained earnings. $19, 100 18,275 (215 units @ $85) 14,700 22,675 The following five transactions occurred in Year 2: 1. First purchase (cash) 115 units @ $87 2. Second purchase (cash) 200 units @ $95 3. Sales (all cash) 360 units @ $190
The accounting records of Wall's China Shop reflected the following balances as of January 1, Year 2: Cash Beginning inventory Common stock Retained earnings. $19, 100 18,275 (215 units @ $85) 14,700 22,675 The following five transactions occurred in Year 2: 1. First purchase (cash) 115 units @ $87 2. Second purchase (cash) 200 units @ $95 3. Sales (all cash) 360 units @ $190
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please do not give solution in image format ? And Fast Answering Please ? And Explain Proper Step by Step.
![Req A
Cost of goods sold
Ending inventory
Compute the cost of goods sold and ending inventory, assuming (1) FIFO c
average cost flow. (Do not round intermediate calculations. Round your an
Show Transcribed Text
Req A
Req B1
Salaries expense
Income before tax
Req A
Show Transcribed Text
Assets
Req B1
Req A
FIFO
Req B1
Total assets
Stockholders' equity
Use a vertical model to show the Year 2 income statement under FIFO, LIF
intermediate calculations. Round your answers to nearest whole dollar amc
Total stockholders' equity
Show Transcribed Text
Req B2
WALL'S CHINA SHOP
Income Statements
For the Year Ended December 31, Year 2
LIFO
Req B1
3
Ending cash balance
Req B2
Cash flows from operating activities
LIFO
FIFO
Req B2
$
Use a vertical model to show the Year 2 balance sheet under FIFO, LIFO, al
calculations. Round your answers to nearest whole dollar amount.)
$
C
3
WALL'S CHINA SHOP
Balance Sheets
As of December 31, Year 2
FIFO
Req B2
0
Net cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities
Net change in cash
Ć
Weighted
Average
Req B3
0 $
0 $
Req B3
Req B3
$
LIFO
0
< Req B1
FIFO
Req B3
WALL'S CHINA SHOP
Statements of Cash Flows
For the Year Ended December 31, Year 2
LIFO
0
Weighted
Average
0
0 $
Use a vertical model to show the Year 2 statement of cash flows under FIF(
intermediate calculations. Round your answers to nearest whole dollar amc
minus sign.)
0 $
Weighted
Average
0 $
0
0
0
0
0
0
$
Req
Weighted
Average
0
0
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8576753c-7167-4779-999b-db3f7b04d255%2F39388140-088c-444e-8614-1a4349b36176%2F263uje_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Req A
Cost of goods sold
Ending inventory
Compute the cost of goods sold and ending inventory, assuming (1) FIFO c
average cost flow. (Do not round intermediate calculations. Round your an
Show Transcribed Text
Req A
Req B1
Salaries expense
Income before tax
Req A
Show Transcribed Text
Assets
Req B1
Req A
FIFO
Req B1
Total assets
Stockholders' equity
Use a vertical model to show the Year 2 income statement under FIFO, LIF
intermediate calculations. Round your answers to nearest whole dollar amc
Total stockholders' equity
Show Transcribed Text
Req B2
WALL'S CHINA SHOP
Income Statements
For the Year Ended December 31, Year 2
LIFO
Req B1
3
Ending cash balance
Req B2
Cash flows from operating activities
LIFO
FIFO
Req B2
$
Use a vertical model to show the Year 2 balance sheet under FIFO, LIFO, al
calculations. Round your answers to nearest whole dollar amount.)
$
C
3
WALL'S CHINA SHOP
Balance Sheets
As of December 31, Year 2
FIFO
Req B2
0
Net cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities
Net change in cash
Ć
Weighted
Average
Req B3
0 $
0 $
Req B3
Req B3
$
LIFO
0
< Req B1
FIFO
Req B3
WALL'S CHINA SHOP
Statements of Cash Flows
For the Year Ended December 31, Year 2
LIFO
0
Weighted
Average
0
0 $
Use a vertical model to show the Year 2 statement of cash flows under FIF(
intermediate calculations. Round your answers to nearest whole dollar amc
minus sign.)
0 $
Weighted
Average
0 $
0
0
0
0
0
0
$
Req
Weighted
Average
0
0
0
![The accounting records of Wall's China Shop reflected the following
balances as of January 1, Year 2:
Cash.
Beginning inventory
Common stock
Retained earnings
$19, 100
18,275 (215 units @ $85)
14,700
22,675
The following five transactions occurred in Year 2:
1. First purchase (cash) 115 units @ $87
2. Second purchase (cash) 200 units @ $95
3. Sales (all cash) 360 units @ $190
4. Paid $13,100 cash for salaries expense
5. Paid cash for income tax at the rate of 25 percent of income before
taxes
Required
a. Compute the cost of goods sold and ending inventory, assuming (1)
FIFO cost flow, (2) LIFO cost flow, and (3) weighted-average cost
flow.
b. Use a vertical model to show the Year 2 income statement, balance
sheet, and statement of cash flows under FIFO, LIFO, and weighted
average. (Hint: Record the events under an accounting equation
before preparing the statements.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8576753c-7167-4779-999b-db3f7b04d255%2F39388140-088c-444e-8614-1a4349b36176%2Flhbibr_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The accounting records of Wall's China Shop reflected the following
balances as of January 1, Year 2:
Cash.
Beginning inventory
Common stock
Retained earnings
$19, 100
18,275 (215 units @ $85)
14,700
22,675
The following five transactions occurred in Year 2:
1. First purchase (cash) 115 units @ $87
2. Second purchase (cash) 200 units @ $95
3. Sales (all cash) 360 units @ $190
4. Paid $13,100 cash for salaries expense
5. Paid cash for income tax at the rate of 25 percent of income before
taxes
Required
a. Compute the cost of goods sold and ending inventory, assuming (1)
FIFO cost flow, (2) LIFO cost flow, and (3) weighted-average cost
flow.
b. Use a vertical model to show the Year 2 income statement, balance
sheet, and statement of cash flows under FIFO, LIFO, and weighted
average. (Hint: Record the events under an accounting equation
before preparing the statements.)
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