Calculate loss of inventory and record the journal entry

Assignment Help Financial Accounting
Reference no: EM13487373

1. Lora Picture Framing began March with 73 units of inventory that cost $23 each. During the month, Lora made the following purchases and sales:

Date

Units

Price $

March 3 Purchase

March 8 Sales

March 12 Purchase
March 12 Purchase

March '15 Sales

March 19 Sales

March 25 Purchase

112

85

60

45

55

75

   65

25

 

27

30

 

35

 

The business uses the perpetual inventory system.

Required

1. Determine the ending inventory and cost-of-goods-sold amounts for the March  financial statements under (a) average cost, (b) FIFO cost, and (c) LIFO cost. Round average cost per unit to the nearest cent and all other amounts to the nearest dollar.

2. Sales price per unit is $50. Calculate Nelson's gross profit for March under each method.

3. Physical stock count at 31 March revealed 89 units of inventory on hand. Under FIFI method calculate loss of inventory and record the journal entry to bring the ending inventory to its correct balance.

Reference no: EM13487373

Questions Cloud

Explain the molecular ion for 2-butanone : Which of the following m/z values is the molecular ion for 2-butanone A. 15 B. 29 C. 43 D. 57 E. 72
Explain a real gas behaves more like an ideal gas : A real gas behaves more like an ideal gas at high pressures and low temperatures. 4. The individual gas particles are not attracted to one another.
Explain what is the balanced net ionic equation : What is the balanced net ionic equation. 2Nh4Cl (aq) + Ba(OH)2 (aq) --> 2H2O (l) + BaCl2 (aq) + 2NH3 (aq)
Explain it is a compound that carries a free radical : A. It is a compound that lost a pair of electrons B. It is a compound that gained a pair of electrons C. It is a compound that gained one electron D. It is a compound that lost one electron E. It is a compound that carries a free radical and a neg..
Calculate loss of inventory and record the journal entry : Determine the ending inventory and cost-of-goods-sold amounts for the March  financial statements under (a) average cost, (b) FIFO cost, and (c) LIFO cost.
Explain the concentration of the compound in a solution : A specific steroid has ?max = 213 nm and molar absorptivity ? = 11,500. What is the concentration of the compound in a solution whose absorbance at 213 nm is A = 0.060 with a sample pathlength of 1.00 cm?
What is the wavelength of the light in the water : Light of wavelength 400 nm is incident normally on a film of water 1.0 µm thick. The index of refraction of water is 1.33. What is the wavelength of the light in the water
Explain the catalyst to the active site of the reaction : What is the reason for using a phase transfer catalyst? a)It is used to transfer the catalyst to the active site of the reaction b)It serves as a proton transfer agent which moves protons from a base to an acid
Prepare closing entries and post : Prepare annual adjusting entries and post to the ledger accounts and Prepare closing entries and post

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd