Demo_for_Chapter_7_Solutions

# Demo_for_Chapter_7_Solutions - Question#1 Demo Problems for...

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Question #1- Demo Problems for Chapter 7 Allsigns Company uses a periodic inventory system. At the end  of   the   annual   accounting   period,   December   31,   2007,   the  accounting   records   for   the   most   popular   item   in   inventory  showed the following: Transactions   Units   Unit  Cost Beginning inventory, January 1,  2007     400    \$ 3 0 Transactions during 2007:              a . Purchase, February 20     600      3 2 b . Sale, April 1 (\$46 each)     (70 0 )       c . Purchase, June 30     500      3 6 d . Sale, August 1 (\$46 each)     (10 0 )       e . Sales return, August 5 (related  to transaction  d )     20        Compute the amount of goods available for sale and the ending inventory.  (Round your answer to the nearest dollar amount.) **ANYTIME a sale and  return net it out Goods available for sale for all methods:

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Units Unit Cost Total Cost 400 30 12000 600 32 19200 500 36 18000 Goods Available for Sale (GAFS) 1500 49200 January 1, ginning invent 400 \$30 \$12,000 ) = 720 units Requirement 2: Compute the amount of ending inventory, and cost of goods sold  at December 31, 2007, under each of the following inventory  costing   methods.   (Round   your   answer   to   the   nearest   dollar
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## This homework help was uploaded on 02/20/2009 for the course AEM 221 taught by Professor Little,j. during the Fall '08 term at Cornell.

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Demo_for_Chapter_7_Solutions - Question#1 Demo Problems for...

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