4lifo date j an152011 generalj ournal 1spec

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Unformatted text preview: entory rec ords for Ac e­5 reels inc luded the following c os t lay ers : Purc has e Date Dec . 12, 2010 J an. 9, 2011 Total on hand Quantity 600 900 1,500 Unit Cos t $ 29 32 Total Cos t $ 17,400 28,800 $ 46,200 a. Prepare a s eparate journal entry to rec ord the c os t of goods s old relating to the J anuary 15 s ale of 1,000 Ac e­5 reels , as s uming that Bas s Trac k us es : (Om it the "$" sign in your response.) 1. Spec ific identific ation (500 of the units s old were purc has ed on Dec ember 12, and the remaining 500 were purc has ed on J anuary 9). 2. Av erage c os t. 3. FIFO. 4. LIFO. Date J an 15, 2011 General J ournal 1. Spec ific identific ation method: Cos t of goods s old Inv entory 2. Av erage­c os t method: Cos t of goods s old Inv entory 3. Firs t­in, Firs t­out (FIFO) method: Cos t of goods s old Inv entory 4. Las t­in, Firs t­out (LIFO) method: Cos t of goods s old Inv entory Debit Credit 30,500 30,500 30,800 30,200 31,700 30,800 30,200 31,700 b. Complete a s ubs idiary ledger rec ord for Ac e­5 reels us ing eac h of the four inv entory v aluation methods lis ted abov e. Your inv entory rec ords s hould s how both purc has es of this produc t, the s ale on J anuary 15, and the balanc e on hand at Dec ember 12, J anuary 9, and J anuary 15. (Round your final answers to the nearest dollar am ount. Be certain to enter z ero wherever required. Om it the "$" sign in your response.) 1. Specific identification method: PURCHASED Date Dec 12 J an 9 J an 15 Units 600 900 0 0 Unit Cos t $ 29 32 0 0 e z to.mhe c loud.mc gr a w- hill.c om/hm_a c c ounting.tpx? todo= pr intvie w Total $ 17,400 28,800 0 0 SOLD Units Unit Cos t 0 0 0 500 $ 0 0 0 29 Cos t of Goods Sold 0 0 0 0 BALANCE Units 600 600 900 100 Unit Cos t $ 4/7 11/18/13 Assignme nt Pr int Vie w 0 0 0 500 32 $ 30,500 400 2. Average­cost method: PURCHASED Date Dec 12 J an 9 J an 15 Units 600 900 0 Unit Cos t $ 29 32 0 Total $ 17,400 28,800 0 SOLD Units Unit Cos t 0 0 1,000 $ 0 0 30.80 Cos t of Goods Sold 0 0 $ 30,800 BALANCE Units 600 1,500 500 Unit Cos t $ 3. First­in, First­out (FIFO) method: PURCHASED Date Dec 12 Units J an 9 600 900 Unit Cos t $ 29 32 Total $ 17,400 28,800 J an 15 0 0 0 0 0 0 SOLD Units 0 0 0 Unit Cos t 0 0 0 600 400 0 0 0 29 32 $ Cos t of Goods Sold 0 0 $ BALANCE Units 600 600 0 0 30,200 Unit Cos t $ 900 0 500 4. Last­in, First­out (LIFO) method: PURCHASED Date Dec 12 J an 9 J an 15 Units 600 900 0 0 0 Unit Cos t $ 29 32 0 0 0 Total $ 17,400 28,800 0 0 0 SOLD Units Unit Cos t 0 0 0 900 100 $ 0 0 0 32 29 Cos t of Goods Sold 0 0 0 0 $ 31,700 BALANCE Units 600 600 900 0 500 Unit Cos t $ Explanation: a. 1. Spec ific identific ation method: To rec ord c os t of 1,000 Ac e­5 reels s old to Angler's Warehous e: 500 units @ $29; 500 units @ $32. 2. Av erage­c os t method: To rec ord c os t of 1,000 Ac e­5 reels s old to Angler's Warehous e by the av erage­c os t method: 1,000 units @ $30.80 ($46,200 total c os t, div ided by 1,500 units ). 3. F...
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