Question

ACC 3010 Project 2

This project is a continuation of Project 1, KTZFIG Consulting Inc.   An additional 11 months have passed since Project 1 (we are now at June 30, 2019 the company’s year end). The friends have expanded the shop to include sales of gidgits as well as the consulting services activities. The new company name is KTZFIG Consulting & Sales Inc. All transactions for the company through the end of the year have been posted to the accounts EXCEPT FOR those relating to the purchasing and sales of gidgits in June. You will be recording and posting those entries. Additionally, all adjustments have been made EXCEPT for those related to accounting for bad debts and any inventory and cost of goods sold issues. You will be adding that information. You will then be preparing the year end multi step income statement for the company. The following is a suggested series of steps for completing the project:
1.    Complete the Perpetual Inventory card worksheets to reflect the June purchases and sales under the 3 different Inventory costing methods. You need to include totals for Purchases and Cost of Goods Sold Quantity and Total Cost and must show Ending Inventory total units and total cost. For the weighted average computations, round unit cost to the nearest penny and total cost to the nearest dollar.

Inventory on Hand at the beginning of June:

	Units	Cost/Unit	Total Cost
Purchase 1	12	35	$420
Purchase 2	14	40	560
Total	26		$980

June 2019 transactions related to buying and selling gidgit inventory

1-Jun Sold 16 gidgits at $98 each on credit

6-Jun Purchased 25 gidgits at a cost of $45 per gidgit on credit

15-Jun Sold 27 gidgits at $105 each on credit

20-Jun Purchased 30 gidgits at a cost of $50 per gidgit on credit

24-Jun Sold 25 gidgits at $108 each on credit

The PHYSICAL count of gidgit inventory on hadn at June 30, 2019 shows 10 gidgits at a LIFO cost of $980.

LIFO:

Date

Purchases

Cost of Goods

Inventory on Hand

	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost

FIFO:

Date

Purchases

Cost of Goods

Inventory on Hand

	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost

Weighted Average:

Date

Purchases

Cost of Goods

Inventory on Hand

	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost	Quantity	Unit Cost	Total Cost

Answer 1