Question

Wamerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March. Units Sold at Retail Units Acquired at Cost 100 units $50.00 per unit 400 units $55.00 per unit Date Mar. 1 Beginning inventory Mar. 5 Purchase Mar. 9 Sales Mar. 18 Purchase Mar. 25 Purchase Mar. 29 Sales Activities 420 units$85.00 per unit 120 units @ $60.00 per unit 200 units $62.00 per unit 160 units& $95.00 per unit 580 units 820 units Totals MMBURU ACCT& 201 Problem 6-1A COST OF GOODS SOLD FIFO BALANCE PURCHASES フATE UNITS | @ | TOTAL | UNITS | @--TOTAL-UNITS +0İ-TOTAL Mar 1 5 に Zo GO 0 29 54, 400 TOTAL 1 :126 LIFO Problem 6-1A COST OF GOODS SOLD UNITS | @ | TOTAL | UNITS! @ TOTAL | UNITS! @| TOTAL DATE PURCHASES BALANCE Mar 1 3. Go to page 61 of your lecture guide and refer to the FIFO inventory cost sheet. Record the required journal entries from March 5th to March 29th using the following assumptions: (10 points) Aec rau a. All sales are credit sales at 1/5, n/15 and thatall ustomers pay within the discount period. Acc rnab All purchases are credit purchases at 1/10, n720 and that Warnerwoods Company takes advantage No nompany of all cash discounts. n c. When recording the receivable or payable, use the control account since it is impossible to tell the name of the customer or that of the supplier Page 1 of1 ou must be the change pou wish to see in the world-cMahatma③ andhi

Answer 1

ANSWER-1)

FIFO: Cost per Inventory Balance Cost per unit Cost per Cost of Goods Sold # of units sold # of units 100 100 00 # of units S 50.00S 5,000.00 arch 1 S 50.00 55.00 5,000.00 22,000.00 400S 55.00 March 5 S 27,000.00 00 50.00 S5,000.00 17,600.00 $ 22.600.00 S 50.00- March 9 320 55.00- 80| @ |$ 55.00! =|$ 4.400 00 S 4.400.00 50.00 55.00 60.00 12이$ 0 60.00 March 18 80 120 4,400.00 7,200.00 S 11,600.00 S 50.00 80S 55.00 120 60.00 200 S 62.00 March 25 200 $ 62.00 4,400.00 7,200.00 12,400.00 S 24,000.00 @ |$ 5000| = Is 0.00 4,400.00 4,800.00 0.00 S 9,200.00 50.00 S55.00 60.00 62.00 March 29 80 80 55.00 60.00 62.00 40 200 2.400.00 12,400.00 $14,800.00 $ 14,800.00 $ 31,800

Cost per unit Cost perInventory Cost per unit # of units sold Cost of Goods Sold # of units # of units Balance 100 50.00 5,000.00 100 50.00 5,000.00 22,000.00 S 27,000.00 unit larch 1 arch 5 400 5500 4001 @ls 55 00! = 20 50.00 S 1,000.00 22,000.00 S 23,000.00 80S 50.00S 4,000.00 larch 9 400 55.00 @ S 55.00- S 4,000.00 larch 18 12060.00 80S50.00 S 55.00 S 60.00 4,000.00 9 120 7,200.00 S 11,200.00 80S 50.00S 4,000.00 larch 25 62.00 0S 55.00 120 S 60.00 200 62.00 7,200.00 12,400.00 S 23,600.00 larch 29 @ |$ 5000| = Is 0.00 0.00 0.00 9,920.00 9,920.00 S 32920.00 8050.004,000.00 S 55.00 120 60.00 40S 62.00 0 55.00 0 60.00 160 62.00 7,200.00 2,480.00 13,680.00 $ 13,680.00