Some of the information found on a detail inventory card for Sage Inc. for the first month of operations is as follows.
Received
Date
No. of Units
Unit Cost
Issued,
No. of Units
Balance,
No. of Units
January 2 1,600 $4.65 1,600 7 1,100 500 10 1,000 4.96 1,500 13 900 600 18 1,400 5.12 700 1,300 20 1,100 200 23 1,700 5.27 1,900 26 1,200 700 28 2,000 5.43 2,700 31 1,700 1,000
1. If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, what amount would be the amount of the ending inventory?
*THIS IS A PERPETUAL INVENTORY RECORD SYSTEM. Everyone keeps giving me the periodic answers. I need PERPETUAL. Please help me, my teacher did not go over this in class.
Some of the information found on a detail inventory card for Sage Inc. for the first month of operations is as follows.
| Received | ||||||||
| Date | No. of Units | Unit Cost | Issued, | Balance, | ||||
| January 2 | 1,600 | $4.65 | 1,600 | |||||
| 7 | 1,100 | 500 | ||||||
| 10 | 1,000 | 4.96 | 1,500 | |||||
| 13 | 900 | 600 | ||||||
| 18 | 1,400 | 5.12 | 700 | 1,300 | ||||
| 20 | 1,100 | 200 | ||||||
| 23 | 1,700 | 5.27 | 1,900 | |||||
| 26 | 1,200 | 700 | ||||||
| 28 | 2,000 | 5.43 | 2,700 | |||||
| 31 | 1,700 | 1,000 | ||||||
1. If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, what amount would be the amount of the ending inventory?
*THIS IS A PERPETUAL INVENTORY RECORD SYSTEM. Everyone keeps giving me the periodic answers. I need PERPETUAL. Please help me, my teacher did not go over this in class.
Related questions
Some of the information found on a detail inventory card for Indigo Inc. for the first month of operations is as follows.
| Received | ||||||||
| Date | No. of Units | Unit Cost | Issued, | Balance, | ||||
| January 2 | 1,300 | $4.83 | 1,300 | |||||
| 7 | 800 | 500 | ||||||
| 10 | 700 | 5.15 | 1,200 | |||||
| 13 | 600 | 600 | ||||||
| 18 | 1,100 | 5.31 | 400 | 1,300 | ||||
| 20 | 1,100 | 200 | ||||||
| 23 | 1,400 | 5.47 | 1,600 | |||||
| 26 | 900 | 700 | ||||||
| 28 | 1,700 | 5.64 | 2,400 | |||||
| 31 | 1,400 | 1,000 | ||||||
a. From these data compute the ending inventory on each of the following bases. Assume that perpetual inventory records are kept in units only. (1) First-in, first-out (FIFO). (2) Last-in, first-out (LIFO). (3) Average-cost. (Round final answers to 0 decimal places, e.g. 6,548.)
| (1) | (2) | (3) | ||||
| Ending Inventory |
b. If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, would the amounts shown as ending inventory in (1), (2), and (3) above be the same? What amount would be shown as ending inventory? (Round average cost per unit to 4 decimal places, e.g. 2.7621 and final answers to 0 decimal places, e.g. 6,548.)
| (1) (2) (3) FIFO LIFO Average- cost | ||||||
| Would amount be same | ||||||
| Ending Inventory |
Some ofthe information found on a detail inventory card for Slatkin Inc.for the first month of operations is as follows.
Received
Date #ofunits unitcost issued# ofunits balance,# of units
January2 1,650 $3.91 1,650
January7 1,150 500
January10 1,050 $4.17 1,550
January13 950 600
January18 1,450 $4.30 750 1,300
January20 1,100 200
January23 1,750 $4.43 1,950
January26 1,250 700
January28 2,050 $4.56 2,750
January31 1,750 1,000
From thesedata compute the ending inventory on each of the following bases.Assume that perpetual inventory records are kept in units only. (1)First-in, first-out (FIFO). (2) Last-in, first-out (LIFO). (3)Average-cost.
FIFO LIFO AverageCost
Ending Inventory$ ??? $ ??? $ ???
If theperpetual inventory record is kept in dollars, and costs arecomputed at the time of each withdrawal, what amount would be shownas ending inventory under (1) FIFO, (2) LIFO and (3)Average-cost?
FIFO LIFO AverageCost
Ending Inventory$ ??? $ ??? $ ???
(a) Record a single-column purchases journal.
Check figures:
Cash Receipts Journal, total Cash DR: $ 70,348
Cash Payments Journal, total Cash CR: 62,060
Net Income: 25,218 Total Assets: 149,568
Total Post Closing Trial Balance: 151,193
Sun & Surf Company uses a perpetual inventory system and both an accounts receivable and an accounts payable subsidiary ledger. Balances related to both the general ledger and the subsidiary ledger for Sun & Surf are indicated in the working papers. Below are a series of transactions for Sun & Surf Co. for the month of January. Credit sales terms are 2/10, n/30. The cost of all merchandise sold was 55% of the sales price.
Jan.3 Sell merchandise on account to M. Knast $5,100, invoice no. 825, and to C. Ryder $1,900, invoice no. 826.
5 Purchase merchandise from R. Drifter $5,000 and N. Sova $2,200, terms n/30.
7 Receive checks from V. Arnold $4,000 and I. Tan $2,000 after discount period has lapsed.
8 Pay freight on merchandise purchased $235.
9 Send checks to K. Xerxes for $9,000 less 2% cash discount, and to T. Caper for $11,000 less 1% cash discount.
9 Issue credit of $300 to C. Ryder for merchandise returned.
10 Summary daily cash sales total $15,500.
11 Sell merchandise on account to D. Gallagher $1,600, invoice no. 827, and to V. Arnold $900, invoice no. 828.
12 Pay rent of $1,000 for January.
13 Receive payment in full from M. Knast and C. Ryder less cash discounts.
15 Withdrawal of $800 cash by J. Sandy for personal use.
15 Post all entries to the subsidiary ledgers.
16 Purchase merchandise from T. Caper $18,000, terms 1/10, n/30; K. Xerxes $14,200, terms 2/10, n/30; and R. Drifter $1,500, terms n/30.
17 Pay $400 cash for office supplies.
18 Return $200 of merchandise to K. Xerxes and receive credit.
20 Summary daily cash sales total $20,100.
21 Issue $15,000 note, maturing in 90 days, to M. Griffen in payment of balance due.
21 Receive payment in full from V. Arnold less cash discount.
22 Sell merchandise on account to M. Knast $2,700, invoice no. 829, and to D. Gallagher $1,300, invoice no. 830.
22 Post all entries to the subsidiary ledgers.
23 Send checks to T. Caper and K. Xerxes in full payment less cash discounts.
25 Sell merchandise on account to I. Tan $3,500, invoice no. 831, and to C. Ryder $6,100, invoice no. 832.
27 Purchase merchandise from T. Caper $14,500, terms 1/10, n/30; N. Sova $1,200, terms n/30; and R. Drifter $5,400, terms n/30.
27 Post all entries to the subsidiary ledgers.
28 Pay $275 cash for office supplies.
31 Summary daily cash sales total $21,300.
31 Pay salaries and wages of $8,100. (continued)
(a) Record a single-column purchases journal.
1. Office supplies at January 31 total $900.
2. Insurance coverage expires on September 30, 2017.
3. Annual depreciation on the equipment is $1,500.
4. Interest of $50 has accrued on the note payable.
| General Ledger | |||||
| Cash | No. 101 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 37,150 | ||
| Accounts Receivable | No. 112 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 13,000 | ||
| Notes Receivable | No. 115 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 39,000 | ||
| Inventory | No. 120 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 17,795 | ||
| Office Supplies | No. 125 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 1,200 | ||
| Prepaid Insurance | No. 130 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 2,205 | ||
| Equipment | No. 157 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 6,450 | ||
| Accumulated Depreciation - Equipment | No. 158 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 1,500 | ||
| Notes Payable | No. 200 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Accounts Payable | No. 201 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 35,000 | ||
| Interest Payable | |||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| J. Sandy, Capital | No. 301 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Jan. 1 | Balance | â | $ 80,300 | ||
| J. Sandy, Drawing | No. 306 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Income Summary | No. 350 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Sales | No. 401 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Sales Returns and Allowances | No. 412 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Sales Discounts | No. 414 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Cost of Goods Sold | No. 505 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Salaries and Wages Expense | No. 627 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Depreciation Expense | No. 711 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Interest Expense | No. 718 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Insurance Expense | No. 722 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Office Supplies Expense | No. 728 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
| Rent Expense | No. 729 | ||||
| Date | Explanation | Ref. | Debit | Credit | Balance |
