Warner company purchased twenty-eight units of a product for $19 each and later purchased fourteen more...
Homework Answers
Total cost = (28*19) + (14*19.50) = 805
Total units = 28+14 = 42
Average cost per unit = 805/42 = 19.17 per unit
Gross profit = Sales per unit - Cost per unit
= 35 - 19.17
= 15.83
Hence true
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Warner company purchased twenty-eight units of a product for $19
each and later purchased fourteen more...
A company purchased 130 units for $30 each on January 31. It purchased 190 units for...
A company purchased 130 units for $30 each on January 31. It purchased 190 units for $35 each on February 28. It sold 190 units for $70 each from March 1 through December 31. If the company uses the weighted - average inventory costing method, caloulate the amount of Cost of Goods Sold on the income statement for the year ending December 31. (Assume the company uses the perpetual inventory system. Round any intermediate calculations two decimal places, and your...
Stubbs Company uses the perpetual inventory method. On January 1, Year 1, Stubbs purchased 700 units...
Stubbs Company uses the perpetual inventory method. On January 1, Year 1, Stubbs purchased 700 units of inventory that cost $5.00 each. On January 10, Year 1, the company purchased an additional 600 units of inventory that cost $3.75 each. If Stubbs uses a weighted average cost flow method and sells 1,000 units of inventory for $10.00 each, the amount of gross margin reported on the income statement will be: (Round your intermediate calculations to two decimal places.) Multiple Choice...
A company purchased 500 units for $30 each on January 31. It purchased 550 units for...
A company purchased 500 units for $30 each on January 31. It purchased 550 units for $33 each on February 28. It sold a total of 650 units for $45 each from March 1 through December 31. What is the cost of ending inventory on December 31 if the company uses the weighted-average inventory costing method? (Assume that the company uses a perpetual inventory system.) A) $13,200 B) $12,629 C) $12,000 D) $11,378
QUESTION 13 Under the weighted-average cost flow method, the average cost per unit equals the cost...
QUESTION 13 Under the weighted-average cost flow method, the average cost per unit equals the cost of goods available for sale divided by the number of units available for sale. True OFalse QUESTION 14 A company's gross margin reported on the income statement is not affected by the inventory cost flow method it uses. OTrue eFalse QUESTION 15 A company uses a cost flow method (such as LIFO or FIFO) to allocate product costs between cost of goods sold and...
A company purchased 90 units for $20 each on January 31. It purchased 170 units for...
A company purchased 90 units for $20 each on January 31. It purchased 170 units for $25 each on February 28. It sold 170 units for $50 each from March December 31. If the company uses the weighted average inventory costing method, calculate the amount of Cost of Goods Sold on the income statemen ending December 31. (Assume the company uses the perpetual inventory system. Round any intermediate calculations two decimal places, and your final the nearest dollar.) O A....
Hoover Company purchased two identical inventory items. The item purchased first cost $35.00. The item purchased...
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Stubbs Company uses the perpetual inventory method. On January 1, 2016, Stubbs purchased 400 units of...
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Aircard Corporation tracks the number of units purchased and sold throughout each accounting period but applies...
Aircard Corporation tracks the number of units purchased and
sold throughout each accounting period but applies its inventory
costing method at the end of each period as if it uses a periodic
inventory system. The following are the transactions for the month
of July.
Units
Unit Cost
July 1
Beginning Inventory
2,000
$
35
July 5
Sold
1,000
July 13
Purchased
6,000
37
July 17
Sold
3,000
July 25
Purchased
8,000
39
July 27
Sold
5,000
Calculate the cost of...
Required information Exercise 5-19 Effect of inventory cost flow (FIFO, LIFO, and weighted average) on gross...
Required information Exercise 5-19 Effect of inventory cost flow (FIFO, LIFO, and weighted average) on gross margin LO 5-6 (The following information applies to the questions displayed below.] The following information pertains to Mason Company for 2018: Beginning inventory Units purchased 140 units 290 units @ @ $40 $45 Ending inventory consisted of 60 units. Mason sold 370 units at $90 each. All purchases and sales were made with cash. Operating expenses amounted to $4100. Exercise 5-19 Part a Required...
The following information pertains to Mason Company for Year 2: $20 Beginning inventory Units purchased 90...
The following information pertains to Mason Company for Year 2: $20 Beginning inventory Units purchased 90 units 280 units @ @ $25 Ending inventory consisted of 40 units. Mason sold 330 units at $50 each. All purchases and sales were made with cash. Operating expenses amounted to $4100. Required a. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. b. What is the amount of net income using...
A company purchased 130 units for $30 each on January 31. It purchased 190 units for $35 each on February 28. It sold 190 units for $70 each from March 1 through December 31. If the company uses the weighted - average inventory costing method, caloulate the amount of Cost of Goods Sold on the income statement for the year ending December 31. (Assume the company uses the perpetual inventory system. Round any intermediate calculations two decimal places, and your...
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A company purchased 90 units for $20 each on January 31. It purchased 170 units for $25 each on February 28. It sold 170 units for $50 each from March December 31. If the company uses the weighted average inventory costing method, calculate the amount of Cost of Goods Sold on the income statemen ending December 31. (Assume the company uses the perpetual inventory system. Round any intermediate calculations two decimal places, and your final the nearest dollar.) O A....
Aircard Corporation tracks the number of units purchased and
sold throughout each accounting period but applies its inventory
costing method at the end of each period as if it uses a periodic
inventory system. The following are the transactions for the month
of July.
Units
Unit Cost
July 1
Beginning Inventory
2,000
$
35
July 5
Sold
1,000
July 13
Purchased
6,000
37
July 17
Sold
3,000
July 25
Purchased
8,000
39
July 27
Sold
5,000
Calculate the cost of...
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