Use the first-in, first-out (FIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and (c) gross margin for A75 Company, considering the following transactions. Number Unit of Units Cost Beginning Inventory 120 $46 Purchased Mar. 2 165 48 Sold Mar. 31 for $80 per unit 83 (a) Sales Revenue $4 (b) Cost of Goods Sold (c) Gross Margin

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Ch 10b, HW#3
Use the first-in, first-out (FIFO) cost allocation method, with perpetual inventory
updating, to calculate (a) sales revenue, (b) cost of goods sold, and (c) gross
margin for A75 Company, considering the following transactions.
Number Unit
of Units Cost
Beginning Inventory
120
$46
Purchased Mar. 2
165
48
Sold Mar. 31 for $80 per unit
83
(a) Sales Revenue
(b) Cost of Goods Sold
(c) Gross Margin
%24
%24
Transcribed Image Text:Ch 10b, HW#3 Use the first-in, first-out (FIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and (c) gross margin for A75 Company, considering the following transactions. Number Unit of Units Cost Beginning Inventory 120 $46 Purchased Mar. 2 165 48 Sold Mar. 31 for $80 per unit 83 (a) Sales Revenue (b) Cost of Goods Sold (c) Gross Margin %24 %24
Expert Solution
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Total value of beginning inventory=120×$46=$5,520

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