Reference no: EM132627441
The following information pertain to the sales and purchase of Ureka Hardware Company for the period September through December of year 2003.
Sales:
September 4: 40,000 units @ Tk.40.00 per unit, gross sales price
October 12: 20,000 units @ Tk.42.00 per unit, gross sales price
November 12: 30,000 units @ Tk.48.00 per unit, gross sales price
December 10: 10,000 units @ Tk.48.5 per unit, gross sales price.
Sales discounts for the period were Tk.4,000.
Purchases
September 1: 100,000 units @ Tk.32.00 per unit
November 10: 35,000 units @ Tk.30.00 per unit
December 1: 30,000 units @ Tk.30.5 per unit
Ureka began the period with an inventory on hand of 10,000 units @ Tk.30.00 per unit.
Ureka follows the First-In, First-Out method of inventory costing under the perpetual inventory procedure,
Question 1. Calculate Ureka's total units and costs of ending inventory balance on December 31, 2003
Question 2. Calculate Ureka's cost of goods sold for the period.
Question 3. Calculate Ureka's gross margin (gross profit from sales) for the period.