Question

29A Accounting for inventory using the perpetual inventory system/FIFO, LIFO, and weighted average, and comparing FIFO, LIFO, and weighted-average Iron Man began August with 65 units of iron inventory that cost $30 each. During August, the company completed the following inventory transactions: Units Unit Cost Unit Sale Price $ 81 Aug. 3 8 85 $50 Sale Purchase Sale Purchase 75 45 Requirements 1. Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. 2. Prepare a perpetual inventory record for the merchandise inventory using the LIFO inventory costing method.

Answer 1

Answer The given that perpetual flfo O castof purchase cost of Goods sold Inventory on Hong nite Onits of Chile Chit Total imple cost cost on COSE COSE COSEC unit Total cost cost 65 $30 1950 Aug 0 30 85 50 4200 1500 15 16 85 30 450 20 450 50 4200 4,700 50 1000 Aug 20 450 20 65 50 13200 3700 8 Aug so 45 20 30 900 20 11000 45 900 1900 Totals 105 5150 120 5200 40 1900 Scanned with CamScanner

@ Perpetual LIFO Invenlosyon Hand We sold cost of purchased cast of Gande sold Invento Date unite unit Totallwellinto frotal units Cost Cost Ones cost cost Monilunit total S Aug 460 50 430 1500 Aug 85 $50 $4250 Harso 4100 Au 80 50 4000 860 F100) Aug 20 45 900 Totaly 105 61501130 Scanned with CamScanner

* Weighted Average per per Pichaje cost of Goods sold inventory on Hand nit Total male units Onit cost Total lonilsonit cost cost Total cock t cost 165 $30 1450 50 $30 $1500 20 4450 Aug 85 $50 $4250 30 4.50 50 4250 4700 47 940 80 47 3760 20 Aug 20 45/900 20 47940 20 45 900 40/26/18401 Totals 105 5150 120 5260 40 1840 Scanned with CamScanner

FIFO cost Goode sold $5,200 Lifo Weighted Avogel $500 $5,260 ICS - Scanned with CamScanner

FIFO LIFO weighted Avenge sales Revende $10,050 $10,060 $10,050 Less: cost of Goods 5,2005,500 6,360 Gross profit $4850 $4,550 $4,790 Olo Scanned with CamScanner