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At the beginning of January 1, Karen Company has 2,000 inventories costing Php 20/unit. The following transactions occurred during the year:
Required: Answer the following: Question 1: Journal entries of the above transaction using (a) Perpetual and (b) Periodic inventory system
Question 2: Under each inventory system above, compute the (a) cost of inventory end and (b) cost of sale.
Question 3: Assume that result of the inventory count revealed that there are only 3,000 units on hand and the shortage is considered as normal, compute for the (a) cost of inventory end and (b) cost of sale under the (a) Perpetual and (b) Periodic inventory system
Question 4: Assume that result of the inventory count revealed that there are only 3,000 units on hand and the shortage is considered as abnormal, compute for the (a) cost of inventory end and (b) cost of sale under the (a) Perpetual and (b) Periodic inventory system
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