Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time. First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items. In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation: Weighted-average Cost = Total Cost of Goods Available For Sale Total Number of Units Available For Sale To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

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Answer 1

Question

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

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A company enters into a contract to sell 70 products to a customer for $80 each. After the company transfers 30 of the 70 products, the customer orders an additional 25 products. The contract is modified, and the additional 25 products are priced at $40 each. $40 is not reflective of the product's standalone selling price. What is the price per product for the remaining 65 products (40 products from the original contract and 25 products from the modification)? A. $80 for the remaining 40 from the original contract and $40 for the additional 25products from the modification B. $60, the average of the prices for the remaining products C. $40, the new price for the products specified in the contract modification D. $64.62, the blended price for the products from the original contract and the modification

Answer 2

Question

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Expert Solution & Answer

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Answer 3

Question

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Expert Solution & Answer

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Answer 4

Question

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Expert Solution & Answer

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Answer 5

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Answer 6

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

Answer 7

Chapter 8, Problem 8.14E

1.

To determine

Perpetual Inventory System refers to the inventory system that maintains the detailed records of every inventory transactions related to purchases and sales on a continuous basis. It shows the exact on-hand-inventory at any point of time.

First-in-First-Out (FIFO): In First-in-First-Out method, the cost of initial purchased items are sold first. The value of the ending inventory consists the recent purchased items.

In Weighted-Average Cost Method the cost of inventory is priced at the average rate of the goods available for sale. Following is the mathematical representation:

Weighted-average Cost=Total Cost of Goods Available For SaleTotal Number of Units Available For Sale

To Prepare: The perpetual inventory schedule using FIFO method of inventory costing.

Answer 8

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

Answer 9

2.

To determine

To Prepare: The perpetual inventory schedule using LIFO method of inventory costing.

Answer 10

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Answer 11

3.

To determine

To Prepare: The perpetual inventory schedule using weighted-average method of inventory costing.

Answer 12

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Answer 13

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Answer 14

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Answer 15

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