Question

1(a):Alpha Company uses the periodic inventory system for purchase & sales of merchandise. The value of...

1(a):Alpha Company uses the periodic inventory system for purchase & sales of merchandise. The value of inventory is based on periodic system. On January 1, 2016, beginning inventory consisted of 325 units of widgets costing $10 each. Alpha prepares monthly income statements. The following events occurred during the month of Jan.:

Date

Activity

a.

Jan. 3

Purchased on account 350 widgets for $11 each.

b.

Jan. 5

Sold on account 425 widgets for $30 each.

c.

Jan. 10

Purchased on account 600 widgets for $12 each.

d.

Jan. 12

Returned 25 widgets received from Jan. 10 purchase.

e.

Jan. 13

Paid for the purchases made on Jan. 3.

f.

Jan. 21

Sold on account 550 widgets for $30 each.

g.

Jan. 25

Received payment for the sale made on Jan. 5.

h.

Jan. 26

Paid for the purchases made on Jan. 10.

i.

Jan. 31

Received payment for the sale made on Jan. 21.

Using the FIFO method, determine the dollar values following for the month of January:

1. Ending Inventory

2. Cost of Goods Available for Sale

3. Cost of Goods Sold

1(b):Alpha Company uses the periodic inventory system for purchase & sales of merchandise. The value of inventory is based on periodic system. On January 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. Alpha prepares monthly income statements. The following events occurred during the month of Jan.:

Date

Activity

a.

Jan. 3

Purchased on account 350 widgets for $11 each.

b.

Jan. 5

Sold on account 400 widgets for $30 each.

c.

Jan. 10

Purchased on account 625 widgets for $12 each.

d.

Jan. 12

Returned 50 widgets received from Jan. 10 purchase.

e.

Jan. 13

Paid for the purchases made on Jan. 3.

f.

Jan. 21

Sold on account 550 widgets for $30 each.

g.

Jan. 25

Received payment for the sale made on Jan. 5.

h.

Jan. 26

Paid for the purchases made on Jan. 10.

i.

Jan. 31

Received payment for the sale made on Jan. 21.

Using the Weighted Average method, determine the dollar values following for the month of January: (Enter only whole dollar values.)

1. Ending Inventory

2. Cost of Goods Available for Sale

3. Cost of Goods Sold

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for...
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the gross method is used. > Alpha Company sold on account merchandise costing $3,000 to Bravo Company on May 2, 2016. Selling price was $4,500. Freight charges related to this transaction of $200 were paid by Alpha Company. > Bravo Company returned, to Alpha Company, merchandise with an original cost to Alpha of $300...
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for...
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the gross method is used. > Alpha Company sold on account merchandise costing $3,000 to Bravo Company on May 2, 2016. Selling price was $4,500. Freight charges related to this transaction of $200 were paid by Alpha Company. > Bravo Company returned, to Alpha Company, merchandise with an original cost to Alpha of $300...
Joe's Shoes, Inc. uses a perpetual inventory system. The company's beginning inventory of a particular product...
Joe's Shoes, Inc. uses a perpetual inventory system. The company's beginning inventory of a particular product and its purchases during the month of January were as follows: Beginning Inventory (Jan.1) 16 widgets @ $10 Purchase Jan. 11 14 widgets @ $12 Sale Jan. 14 25 widgets @ $25 Purchase Jan. 20 23 widgets @ $15 Sale Jan. 25 3 widgets @ $25 Calculate End. Inventory under LIFO COGS=165 Beg Inventory+Purchases-COGS 160+168+345-165=508 ending inventory
1. Alpha Company uses the periodic inventory system and had the following inventory & sales activity...
1. Alpha Company uses the periodic inventory system and had the following inventory & sales activity for the month of May 2016: Date Activity Quantity Unit Price 5/1 Beginning Inventory 175 $10 5/5 Purchase 200 $12 5/15 Purchase 300 $15 5/25 Purchase 150 $16 Sales were 525 units at $20.  Using the LIFO method, determine the dollar values following for the month of May: 1. Ending Inventory 2. Cost of Goods Available for Sale 3. Cost of Goods Sold 2. The...
John’s Specialty Store uses a periodic inventory system. The following are some inventory transactions for the...
John’s Specialty Store uses a periodic inventory system. The following are some inventory transactions for the month of May 2018: John's purchased merchandise on account for $5,100. Freight charges of $350 were paid in cash. John’s returned some of the merchandise purchased in (1). The cost of the merchandise was $650 and John’s account was credited by the supplier. Merchandise costing $2,850 was sold for $5,300 in cash. Required: Prepare the necessary journal entries to record these transactions. (If no...
The difference between a perpetual inventory system and a periodic inventory system is: a. periodic will...
The difference between a perpetual inventory system and a periodic inventory system is: a. periodic will record inventory purchases in the inventory account. b. perpetual requires a physical inventory count. c. periodic will record the cost of goods sold amount at the sale. d. periodic will adjust inventory at the end of each period with a physical count.
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions. Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 760 units @ $70.00 per unit Feb. 10 Purchase 480 units @ $67.00 per unit Mar. 13 Purchase 280 units @ $52.00 per unit Mar. 15 Sales 880 units @ $100.00 per unit Aug. 21 Purchase 260 units @ $75.00 per unit Sept. 5 Purchase 660 units @ $71.00...
Vaughn uses the periodic inventory system. For the current month, the beginning inventory consisted of 7300...
Vaughn uses the periodic inventory system. For the current month, the beginning inventory consisted of 7300 units that cost $14 each. During the month, the company made two purchases: 3000 units at $15 each and 12200 units at $15.50 each. Vaughn also sold 12900 units during the month. Using the average cost method, what is the amount of cost of goods sold for the month? $199600. $187500. $193500. $192855. Carla Company uses a periodic inventory system. For April, when the...
Mountain Made uses a periodic inventory system. The company started the month with 3 quilts in...
Mountain Made uses a periodic inventory system. The company started the month with 3 quilts in its beginning inventory that cost $200 each. During the month, Mountain Made purchased 20 additional quilts for $210 each. At the end of the month, Mountain Made counted its inventory and found that 5 quilts remained unsold. If Mountain Made uses LIFO periodic, its cost of goods sold for the month is: Multiple Choice $1,020. $3,780. $3,750. $1,050.
Fortune Stores uses the periodic inventory system for its merchandise inventory. The April 1 inventory for...
Fortune Stores uses the periodic inventory system for its merchandise inventory. The April 1 inventory for one of the items in the merchandise inventory consisted of 120 unites with a unite cost of $330. Transaction for this item during April were as following: a. Calculate the cost of goods sold and the ending inventory cost for the month of April using the weighted-average cost method. Round your final answer to the nearest dollar. b. Calculated the cost of goods sold...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT