Question

In: Accounting

The following information is taken from the inventory records of the CNB Company for the month...

The following information is taken from the inventory records of the CNB Company for the month of September:

Beginning inventory, 9/1/2021 7,000 units @ $10.00
Purchases:
9/7 3,000 units @ $11.00
9/25 10,000 units @ $11.50
Sales:
9/10 4,000 units
9/29 5,000 units
11,000 units were on hand at the end of September.


Required:
1. Assuming that CNB uses a periodic inventory system and employs the average cost method, determine cost of goods sold for September and September's ending inventory.
2. Assuming that CNB uses a perpetual inventory system and employs the average cost method, determine cost of goods sold for September and September's ending inventory.

Solutions

Expert Solution

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

The following information is taken from the inventory records of the CNB Company for the month...
The following information is taken from the inventory records of the CNB Company for the month of September: Beginning inventory, 9/1/2021 6,300 units @ $11.00 Purchases: 9/7 4,200 units @ $11.60 9/25 10,500 units @ $12.20 Sales: 9/10 5,000 units 9/29 6,000 units 10,000 units were on hand at the end of September. Required: 1. Assuming that CNB uses a periodic inventory system and employs the average cost method, determine cost of goods sold for September and September's ending inventory....
The following information was collected from the inventory records of a company for the month of...
The following information was collected from the inventory records of a company for the month of March, 2010. During March the company sold 90 units of its product at $25 per unit. Date Units Unit Cost Total Cost Beginning inventory March 1 15 $10.00 $150 Purchase March 5 35 $12.00 $420 Purchase March 10 70 $14.00 $980 Purchase March 17 25 $15.00 $375 Determine cost of goods sold under LIFO for the month of March. answer choices: 1285, 640, 1130,...
The following information was taken from Macondo Company records for the year 2019. Raw Materials inventory,...
The following information was taken from Macondo Company records for the year 2019. Raw Materials inventory, 1/12/2019 $ 48,000 Raw Materials inventory, 12/31/209 39,600 Direct labor 139,250 Indirect labor 24,460 Depreciation, factory Machinery 16,000 Raw materials Purchases 96,400 Factory utilities Expense 27,600 Work in process inventory 1/12/2019 19,800 Work in process inventory 12/31/2019 18,600 Finished Goods inventory 1/12/2019 96,000 Finished Goods inventory 12/31/2019 75,900 Factory Property taxes Expense 9,600 Factory Repairs Expense 1,400 Factory Insurance Expense 4,600 Office Utilities Expense...
The following information is taken from the records of West End Distributors Inc. for the month...
The following information is taken from the records of West End Distributors Inc. for the month ended May 31. Units Unit cost May 1 6 12 19 29 Purchase #1 Purchase #2 Purchase #3 Purchase #4 Purchase #5 100 200 125 350 150 $1 1 2 2 3 At May 31, 200 units remain unsold. For specific identification purposes, items on hand at May 31 were: 100 units of purchase #1 100 units of purchase #4 The other units were...
The following cost and inventory data are taken from the accounting records of a Company for...
The following cost and inventory data are taken from the accounting records of a Company for the year just completed: Costs incurred: Direct labor cost ................................................... $140,000 Purchases of raw materials .................................. $236,000 Manufacturing overhead ...................................... $160,000 Advertising expense ............................................. $180,000 Sales salaries ....................................................... $100,000 Depreciation, office equipment ............................ $6,000 Inventories: Beginning the Year End the Year Raw materials ............................ $14,000 $30,000 Work in process .......................... $20,000 $10,000 Finished goods ............................ $40,000 $70,000 Required: 1. Prepare the cost of goods...
The following cost and inventory data are taken from the accounting records of a Company for...
The following cost and inventory data are taken from the accounting records of a Company for the year just completed: Costs incurred: Direct labor cost ................................................... $140,000 Purchases of raw materials .................................. $236,000 Manufacturing overhead ...................................... $160,000 Advertising expense ............................................. $180,000 Sales salaries ....................................................... $100,000 Depreciation, office equipment ............................ $6,000 Inventories: Beginning the Year End the Year Raw materials ............................ $14,000 $30,000 Work in process .......................... $20,000 $10,000 Finished goods ............................ $40,000 $70,000 Required: 1. Prepare the cost of goods...
Errors in Inventory Counts The following information was taken from the records of Taylor Enterprises: 2013...
Errors in Inventory Counts The following information was taken from the records of Taylor Enterprises: 2013 2012 Beginning inventory $70,000 $60,000 Cost of goods purchased 430,000 410,000 Cost of goods available for sale 500,000 470,000 Ending inventory 65,000 70,000 Cost of goods sold $435,000 $400,000 The following two errors were made in the physical inventory counts: 1. 2012 ending inventory was understated by $10,000. 2. 2013 ending inventory was overstated by $5,000. Compute the correct cost of goods sold for...
The following cost and inventory data are taken from the accounting records of Mason Company for...
The following cost and inventory data are taken from the accounting records of Mason Company for the year just completed: Costs incurred: Direct labor cost ................................................... $70,000 Purchases of raw materials .................................. $118,000 Manufacturing overhead ...................................... $80,000 Advertising expense ............................................. $90,000 Sales salaries ....................................................... $50,000 Depreciation, office equipment ............................ $3,000 Beginning of the year End of the year    Inventories: Raw materials ............................ $7,000 $15,000 Work in process .......................... $10,000 $5,000 Finished goods ............................ $20,000 $35,000 1. Prepare a schedule...
The following inventory information was taken from the records of GlobeKom Ltd: Historical cost   $12,000 Replacement...
The following inventory information was taken from the records of GlobeKom Ltd: Historical cost   $12,000 Replacement cost   $9,000 Expected selling price   $10,000 Expected selling cost   $1,500 Normal profit margin   10% of selling price Under IAS 2, what is the net realizable value for inventory? A. 10,000 B. 9,500 C.9,000 D. 8,500 Under IAS 2, what should be the impairment loss for Inventory A.0 B.2,000 c.3,500 D.1,500 Under U.S. GAAP, what should be the market value for Inventory (assuming LCM method...
1. The following inventory information was taken from the records of GlobeKom Ltd: Historical cost $12,000...
1. The following inventory information was taken from the records of GlobeKom Ltd: Historical cost $12,000 Replacement cost $9,000 Expected selling price $10,000 Expected selling cost $1,500 Normal profit margin 10% of selling price Under U.S. GAAP, what should be the impairment loss for inventory (assuming LCM method is used)? A. $0 B. $3,500 C. $2,000 D. $1,500 2. The following inventory information was taken from the records of GlobeKom Ltd: Historical cost $12,000 Replacement cost $9,000 Expected selling price...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT