ABC Enterprise uses a perpetual inventory system to monitor the inventory status and using the First-In First-Out (FIFO) method to compute the cost assigned to the cost of goods sold and the closing inventory. The beginning balance of inventory, data on purchases and sales for a month are as follows: Date Activities Units Acquired at Cost Units Sold at Retail Mar 1 Opening balance 100 units @ RM 3.20 Mar 2 Purchase 500 units @ RM 2.50 Mar 3 Purchase 400 units @ RM 4.00 Mar 10 Sales 350 units @ RM 6.00 Mar 18 Sales 450 units @ RM 5.50 Mar 25 Purchase 100 units @ RM 2.10 Mar 26 Sales 250 units @ RM 5.00 Required: a) At the end of March, compute the cost of goods sold and closing inventory (in unit and cost).
ABC Enterprise uses a perpetual inventory system to monitor the inventory status and using the First-In First-Out (FIFO) method to compute the cost assigned to the cost of goods sold and the closing inventory. The beginning balance of inventory, data on purchases and sales for a month are as follows: Date Activities Units Acquired at Cost Units Sold at Retail Mar 1 Opening balance 100 units @ RM 3.20 Mar 2 Purchase 500 units @ RM 2.50 Mar 3 Purchase 400 units @ RM 4.00 Mar 10 Sales 350 units @ RM 6.00 Mar 18 Sales 450 units @ RM 5.50 Mar 25 Purchase 100 units @ RM 2.10 Mar 26 Sales 250 units @ RM 5.00 Required: a) At the end of March, compute the cost of goods sold and closing inventory (in unit and cost).
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter7: Inventories
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Problem 4PA: The beginning inventory for Funky Party Supplies and data on purchases and sales for a three-month...
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![ABC Enterprise uses a perpetual inventory system to monitor the inventory status and using the First-In
First-Out (FIFO) method to compute the cost assigned to the cost of goods sold and the closing inventory.
The beginning balance of inventory, data on purchases and sales for a month are as follows:
Date
Activities
Units Acquired at Cost
Units Sold at Retail
Mar 1
Opening balance
100 units @ RM 3.20
Mar 2
Purchase
500 units @ RM 2.50
Mar 3
Purchase
400 units @ RM 4.00
Mar 10
Sales
350 units @ RM 6.00
Mar 18
Sales
450 units @ RM 5.50
Mar 25
Purchase
100 units @ RM 2.10
Mar 26
Sales
250 units @ RM 5.00
Required:
a) At the end of March, compute the cost of goods sold and closing inventory (in unit and cost).](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fdba3a16d-79da-4f91-ac50-0a22c43bfa7c%2F3fcc0be0-ba32-497a-8094-3cb02eff6093%2Fgu3k9f_processed.png&w=3840&q=75)
Transcribed Image Text:ABC Enterprise uses a perpetual inventory system to monitor the inventory status and using the First-In
First-Out (FIFO) method to compute the cost assigned to the cost of goods sold and the closing inventory.
The beginning balance of inventory, data on purchases and sales for a month are as follows:
Date
Activities
Units Acquired at Cost
Units Sold at Retail
Mar 1
Opening balance
100 units @ RM 3.20
Mar 2
Purchase
500 units @ RM 2.50
Mar 3
Purchase
400 units @ RM 4.00
Mar 10
Sales
350 units @ RM 6.00
Mar 18
Sales
450 units @ RM 5.50
Mar 25
Purchase
100 units @ RM 2.10
Mar 26
Sales
250 units @ RM 5.00
Required:
a) At the end of March, compute the cost of goods sold and closing inventory (in unit and cost).
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