Matlock Company uses a perpetual inventory system. Its beginning in
ventory consists of 67 units that cost $40 each. During June, the comp
any purchased 202 units at $40 each, returned 8 units for credit, and s
old 168 units at $67 each. Journalize the June transactions.
Question 4
Amsterdam Company uses a periodic inventory system. For April, wh
en the company sold 700 units, the following information is available.
Compute the April 30 inventory and the April cost of goods sold usin
g the average cost method.
Question 5
Amsterdam Company uses a periodic inventory system. For April, wh
en the company sold 600 units, the following information is available.
Compute the April 30 inventory and the April cost of goods sold usin
g the FIFO method.
Question 6
(FIFO, LIFO, Average Cost Inventory)
Esplanade Company was formed on December 1, 2011. The followin
g information is available from Esplanade’s inventory records for Pro
duct BAP.
Purchases
Units
Unit Cost
January 1, 2012(beginning inventory)
762
8.00
January 5, 2012
1,524
9.00
January 25, 2012
1,651
10.00
February 16, 2012
1,061
11.00
March 26, 2012
762
12.00
A physical inventory on March 31, 2012, shows 2,032 units on hand.
Prepare schedules to compute the ending inventory at March 31, 2012
, under each of the following inventory methods. Assume Esplanade
Company uses the periodic inventory method.
Question 7
Floyd Corporation has the following four items in its ending inventor
y. Determine the final lower of cost or market inventory value for eac
h item.
Question 8
Kumar Inc. uses a perpetual inventory system. At January 1, 2013, inv
entory was $320,786 at both cost and market value. At December 31,