Chapter 5 Acct - Chapter 5 Walberg Associates antique dealers purchased the contents of an estate for $38,700 Terms of the purchase were FOB shipping

Chapter 5 Acct - Chapter 5 Walberg Associates antique...

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Chapter 5 Walberg Associates, antique dealers, purchased the contents of an estate for $38,700. Terms of the purchase were FOB shipping point, and the cost of transporting the goods to Walberg Associates' warehouse was $1,800. Walberg Associates insured the shipment at a cost of $270. Prior to putting the goods up for sale, they cleaned and refurbished them at a cost of $610.Determine the cost of the inventory acquired from the estate.Cost of inventory (estate's contents)Price$38,700Transportation-in1,800Insurance on shipment270Cleaning and refurbishing610Total cost of inventory$41,380[The following information applies to the questions displayed below.]Laker Company reported the following January purchases and sales data for its only product.DateActivitiesUnits Acquired at CostUnits sold at RetailJan.1Beginninginventory350units @$11.00=$3,850Jan.10Sales190units@$19.00Jan.20Purchase420units @$10.00=4,200Jan.25Sales345units@$19.00Jan.30Purchase290units @$9.00=2,610Totals1,060 units$10,660535unitsRequired: The company uses a perpetual inventory system. For specific identification, ending inventory consists of 525 units, where 290 are from the January 30 purchase, 80 are from the January 20 purchase, and 155 are from beginning inventory.1. Complete the table to determine the cost assigned to ending inventory and cost of goods sold using specific identification. (Round cost per unit to 2 decimal places.) Specific Identification Available for Sale Cost of Goods Sold Ending Inventory Purchase Date Activity Units Unit Cost Units Sold Unit Cost COGS Ending Inventory- Units Cost Per Unit Ending Inventory- Cost Jan. 1 Beginning inventory 350 $11.00 195 $11.00 $2,145 155 $11.00 $1,705 Jan. 20 Purchase 420 $10.00 340 $10.00 $3,400 80 $10.00 $800 Jan. 30 Purchase 290 $9.00 290 $9.00 $2,610 1,060 535 $5,545 525 $5,115 1

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