Requirements

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Prepare a perpetual inventory record, using the FIFO inventory

costing method, and determine the company's cost of goods sold, ending

merchandise inventory, and gross profit.

Prepare a perpetual inventory record, using the LIFO inventory

costing method, and determine the company's cost of goods sold, ending

merchandise inventory, and gross profit.

Prepare a perpetual inventory record, using the weighted-average inventory

costing method, and determine the company's cost of goods sold, ending

merchandise inventory, and gross profit. (Round weighted-average cost per

unit to the nearest cent and all other amounts to the nearest dollar.)

If the business wanted to pay the least amount of income taxes possible,

which method would it choose?/nPurchases

Unit

Date Quantity Cost

Oct. 1

5

13

18

26

Totals

example

Ge more help

Total

Cost

Cost of Goods Sold

Unit

Cost

Quantity

Total

Cost

Inventory on Hand

Unit

Quantity Cost

Total

Cost/nExercise Gym began October with merchandise inventory of 65 crates of vitamins that cost a total of $3,835. During the month, Exercise Gym purchased and sold merchandise on

account as follows:

(Click the icon to view the transactions.)

Requirement 1. Prepare a perpetual inventory record, using the FIFO inventory costing method, and determine the company's cost of goods sold, ending merchandise inventory,

and gross profit.

Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method. Enter the transactions in chronological order,

calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of

merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.)

Cost of Goods Sold

Date

Oct. 1

5

13

18

docs example

Quantity

Purchases

Unit

Cost

Get more help.

Total

Unit

Cost Quantity Cost

Total

Cost

Inventory on Hand

Unit

Quantity Cost

Total

Cost

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