Question

In: Accounting

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions

Date Activities Units Acquired at Cost Units Sold at Retail
Jan. 1 Beginning inventory 540 units @ $40 per unit
Feb. 10 Purchase 320 units @ $36 per unit
Mar. 13 Purchase 100 units @ $24 per unit
Mar. 15 Sales 650 units @ $85 per unit
Aug. 21 Purchase 120 units @ $45 per unit
Sept. 5 Purchase 520 units @ $41 per unit
Sept. 10 Sales 640 units @ $85 per unit
Totals 1,600 units 1,290 units

    
Required:
1. Compute cost of goods available for sale and the number of units available for sale.



2. Compute the number of units in ending inventory.



3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, units sold consist of 540 units from beginning inventory, 220 from the February 10 purchase, 100 from the March 13 purchase, 70 from the August 21 purchase, and 360 from the September 5 purchase. (Round your average cost per unit to 2 decimal places.)



4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.)

rev: 10_23_2017_QC_CS-104883, 11_09_2017_QC_CS-108457, 02_24_2018_QC_CS-119467, 04_06_2018_QC_CS-123768, 02_08_2019_QC_CS-156418, 03_15_2019_QC_CS-162654

Next Visit question map

Question12of14Total12 of 14

Prev

Solutions

Expert Solution

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $40 per unit Feb. 10 Purchase 400 units @ $37 per unit Mar. 13 Purchase 190 units @ $15 per unit Mar. 15 Sales 805 units @ $70 per unit Aug. 21 Purchase 190 units @ $45 per unit Sept. 5 Purchase 550 units @ $43...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions. (For specific identification, units sold consist of 600 units from beginning inventory, 300 from the February 10 purchase, 200 from the March 13 purchase, 50 from the August 21 purchase, and 250 from the September 5 purchase.) Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $45.00 per unit Feb. 10 Purchase 400 units @...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $40 per unit Feb. 10 Purchase 360 units @ $37 per unit Mar. 13 Purchase 150 units @ $25 per unit Mar. 15 Sales 765 units @ $80 per unit Aug. 21 Purchase 200 units @ $45 per unit Sept. 5 Purchase 580 units @ $42...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 540 units @ $40 per unit Feb. 10 Purchase 320 units @ $36 per unit Mar. 13 Purchase 100 units @ $24 per unit Mar. 15 Sales 650 units @ $85 per unit Aug. 21 Purchase 120 units @ $45 per unit Sept. 5 Purchase 520 units @ $41...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 660 units @ $35 per unit Feb. 10 Purchase 330 units @ $32 per unit Mar. 13 Purchase 110 units @ $20 per unit Mar. 15 Sales 760 units @ $75 per unit Aug. 21 Purchase 180 units @ $40 per unit Sept. 5 Purchase 570 units @ $36...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $60 per unit Feb. 10 Purchase 480 units @ $57 per unit Mar. 13 Purchase 120 units @ $42 per unit Mar. 15 Sales 785 units @ $80 per unit Aug. 21 Purchase 180 units @ $65 per unit Sept. 5 Purchase 470 units @ $63...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $40 per unit Feb. 10 Purchase 360 units @ $37 per unit Mar. 13 Purchase 150 units @ $25 per unit Mar. 15 Sales 765 units @ $80 per unit Aug. 21 Purchase 200 units @ $45 per unit Sept. 5 Purchase 580 units @ $42...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 600 units @ $60 per unit Feb. 10 Purchase 480 units @ $57 per unit Mar. 13 Purchase 120 units @ $42 per unit Mar. 15 Sales 785 units @ $80 per unit Aug. 21 Purchase 180 units @ $65 per unit Sept. 5 Purchase 470 units @ $63...
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions.    Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 700 units @ $40.00 per unit Feb. 10 Purchase 450 units @ $37.00 per unit Mar. 13 Purchase 250 units @ $22.00 per unit Mar. 15 Sales 850 units @ $70.00 per unit Aug. 21 Purchase 200 units @ $45.00 per unit Sept. 5 Purchase 600 units @...
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales...
Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions. Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 790 units @ $85.00 per unit Feb. 10 Purchase 495 units @ $82.00 per unit Mar. 13 Purchase 295 units @ $67.00 per unit Mar. 15 Sales 895 units @ $115.00 per unit Aug. 21 Purchase 290 units @ $90.00 per unit Sept. 5 Purchase 690 units @ $86.00...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT