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Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions for March. Date March 1. March 5 March 9 March 18. March 25 March 29 Activities. Beginning inventory Purchase Sales Purchase Purchase Sales. Totals Problem 6-2AA (Algo) Part 4 Sales Less: Cost of goods sold Gross profit Units Acquired at Cost 120 units@ $55 per unit 420 units@ $60 per unit FIFO 160 units@ $65 per unit 240 units@ $67 per unit LIFO 940 units. For specific identification, units sold include 40 units from beginning inventory, 400 units from the March 5 purchase, 60 units from the March 18 purchase, and 140 units from the March 25 purchase. 4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Units Sold at Retail Weighted Average 440 units@ $90 per unit Specific Identification 200 units @ $100 per unit 640 units

Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions for March. Date March 1. March 5 March 9 March 18. March 25 March 29 Activities. Beginning inventory Purchase Sales Purchase Purchase Sales. Totals Problem 6-2AA (Algo) Part 4 Sales Less: Cost of goods sold Gross profit Units Acquired at Cost 120 units@ $55 per unit 420 units@ $60 per unit FIFO 160 units@ $65 per unit 240 units@ $67 per unit LIFO 940 units. For specific identification, units sold include 40 units from beginning inventory, 400 units from the March 5 purchase, 60 units from the March 18 purchase, and 140 units from the March 25 purchase. 4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Units Sold at Retail Weighted Average 440 units@ $90 per unit Specific Identification 200 units @ $100 per unit 640 units

FINANCIAL ACCOUNTING
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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Problem 6-2AA (Algo) Periodic: Alternative cost flows LO P3 [The following information applies to the questions displayed below.] Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions for March. Date March 1 March 5 March 9 March 18 March 25 March 29 Activities Beginning inventory Purchase Sales Purchase Purchase Sales Totals Problem 6-2AA (Algo) Part 4 Sales Less: Cost of goods sold Gross profit Units Acquired at Cost @$55 per unit @$60 per unit FIFO 120 units 420 units LIFO 160 units. 240 units 940 units For specific identification, units sold include 40 units from beginning inventory, 400 units from the March 5 purchase, 60 units from the March 18 purchase, and 140 units from the March 25 purchase. @$65 per unit @$67 per unit 4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Weighted Average Units Sold at Retail 440 units @ $90 per unit Specific Identification 200 units @ $100 per unit 640 units
Transcribed Image Text:Problem 6-2AA (Algo) Periodic: Alternative cost flows LO P3 [The following information applies to the questions displayed below.] Warnerwoods Company uses a periodic inventory system. It entered into the following purchases and sales transactions for March. Date March 1 March 5 March 9 March 18 March 25 March 29 Activities Beginning inventory Purchase Sales Purchase Purchase Sales Totals Problem 6-2AA (Algo) Part 4 Sales Less: Cost of goods sold Gross profit Units Acquired at Cost @$55 per unit @$60 per unit FIFO 120 units 420 units LIFO 160 units. 240 units 940 units For specific identification, units sold include 40 units from beginning inventory, 400 units from the March 5 purchase, 60 units from the March 18 purchase, and 140 units from the March 25 purchase. @$65 per unit @$67 per unit 4. Compute gross profit earned by the company for each of the four costing methods. Note: Round your average cost per unit to 2 decimal places and final answers to nearest whole dollar. Weighted Average Units Sold at Retail 440 units @ $90 per unit Specific Identification 200 units @ $100 per unit 640 units
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