Inventory Costing Methods Terpsichore Company uses a perpetual inventory system. For 2018 and 2019, Terpsichore has the following data: Activity Units Purchase Price (per unit) Sale Price (per unit) 2018 Beginning inventory 100 $45 Purchase 1, Feb. 25 700 52 Sale 1, Apr. 15 600 $90 Purchase 2, Aug. 30 500 56 Sale 2, Nov. 13 600 90 Purchase 3, Dec. 20 400 58 2019 Sale 3, Mar. 8 400 90 Purchase 4, June 28 900 62 Sale 4, Dec. 18 200 90 3. For each year, compute cost of goods sold, the cost of ending inventory, and gross margin using the average cost method. (Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 2018 2019 Cost of goods sold ??? ?????????/ Cost of ending inventory ???????? ???????? Gross margin ?????? ???????????
Inventory Costing Methods Terpsichore Company uses a perpetual inventory system. For 2018 and 2019, Terpsichore has the following data: Activity Units Purchase Price (per unit) Sale Price (per unit) 2018 Beginning inventory 100 $45 Purchase 1, Feb. 25 700 52 Sale 1, Apr. 15 600 $90 Purchase 2, Aug. 30 500 56 Sale 2, Nov. 13 600 90 Purchase 3, Dec. 20 400 58 2019 Sale 3, Mar. 8 400 90 Purchase 4, June 28 900 62 Sale 4, Dec. 18 200 90 3. For each year, compute cost of goods sold, the cost of ending inventory, and gross margin using the average cost method. (Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 2018 2019 Cost of goods sold ??? ?????????/ Cost of ending inventory ???????? ???????? Gross margin ?????? ???????????
Chapter1: Financial Statements And Business Decisions
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Inventory Costing Methods
Terpsichore Company uses a perpetual inventory system. For 2018 and 2019, Terpsichore has the following data:
| Activity | Units | Purchase Price (per unit) |
Sale Price (per unit) |
|||
| 2018 | ||||||
| Beginning inventory | 100 | $45 | ||||
| Purchase 1, Feb. 25 | 700 | 52 | ||||
| Sale 1, Apr. 15 | 600 | $90 | ||||
| Purchase 2, Aug. 30 | 500 | 56 | ||||
| Sale 2, Nov. 13 | 600 | 90 | ||||
| Purchase 3, Dec. 20 | 400 | 58 | ||||
| 2019 | ||||||
| Sale 3, Mar. 8 | 400 | 90 | ||||
| Purchase 4, June 28 | 900 | 62 | ||||
| Sale 4, Dec. 18 | 200 | 90 |
|
3. For each year, compute cost of goods sold, the cost of ending inventory, and gross margin using the average cost method. (Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.)
| 2018 | 2019 | |
| Cost of goods sold | ??? | ?????????/ |
| Cost of ending inventory | ???????? | ???????? |
| Gross margin | ?????? | ??????????? |
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