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(a)
Periodic Inventory System: It is a system in which the inventory is updated in the accounting records on a periodic basis such as at the end of each month, quarter or year. In other words, it is an accounting method which is used to determine the amount of inventory at the end of each accounting period.
To Calculate: The cost of goods sold using the FIFO periodic inventory method of P Electronics.
(b)
Specific identification method refer to accurately identifying the items that are being sold and stored as ending inventory with its purchase. It requires the companies to keep perfect records of the original cost of each and every individual items of the inventory.
To Calculate: The cost of goods sold using specific identification method of P Electronics.
(c)
To Explain: Whether the FIFO method or specific identification method would be recommended for P Electronics.
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Chapter 6 Solutions
FINANCIAL ACCOUNTING:TOOLS FOR BUSINESS
- can you please give me answerarrow_forwardHii teacher please provide for General accounting question answer do fastarrow_forwardQuine Inc. reported sales of $8,500,000 for the month and incurred variable expenses totaling $6,300,000 and fixed expenses totaling $1,500,000. The company has no beginning or ending inventories. A total of 90,000 units were produced and sold last month. How many units would the company have to sell to achieve a desired profit of $1,200,000? (rounding up to the nearest whole unit)arrow_forward
Principles of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax College