Assignmentstore is an one stop solution for all your assignment needs with 100% unique solutions from high qualified Instructors.

Get HelpNow





    Perpetual inventory system problem

    Anthony Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.

    DateActivitiesUnits Acquired at CostUnits Sold at Retail
    Mar.1Beginning inventory60 units @ $50.20/unit
    Mar.5Purchase205 units @ $55.20/unit
    Mar.9Sales220 units@ $85.20/unit
    Mar.18Purchase65 units @ $60.20/unit
    Mar.25Purchase110 units @ $62.20/unit
    Mar.29Sales90 units@ $95.20/unit
       Totals440 units310 units

     

    Required:
    1.Compute cost of goods available for sale and the number of units available for sale. (Omit the “$” sign in your response.)
      
      Cost of goods available for sale25083
      Number of units available for sale440 units  
    2.Compute the number of units in ending inventory.
      Ending inventory 130 units  
    3.Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, the March 9 sale consisted of 45 units from beginning inventory and 175 units from the March 5 purchase; the March 29 sale consisted of 25 units from the March 18 purchase and 65 units from the March 25 purchase. (Due to rounding, the sum of Cost of Goods Sold and Ending inventory may not equal the Cost of Good available for sales. Round your per unit costs to 3 decimal places and inventory balances to the nearest dollar amount. Omit the “$” sign in your response.)
      Ending
    Inventory
    (a)FIFO  
    (b)LIFO  
    (c)Weighted average  
    (d)Specific identification  

    4.Compute gross profit earned by the company for each of the four costing methods. (Round your per unit costs to 3 decimal places and inventory balances and final answer to the nearest dollar amount. Omit the “$” sign in your response.)
     Gross profit
      FIFO  
      LIFO  
      Weighted average  
      Specific identification  

    To complete this worksheet email us: help@assignmentstore.com or live chat with us .