Accounting Lifo & Fifo
Submitted by: Submitted by cassey100
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Pages: 4
Category: Other Topics
Date Submitted: 08/01/2015 02:47 AM
ASSIGNMENT 1
The beginning inventory of merchandise at Waldo Company and data on purchases and sales for a three-month period are as follows:
Date
March 3
March 8
March 11
March 30
April 8
April 10
April 19
April 28
Transaction
Inventory
Purchase
Sale
Sale
Purchase
Sale
Sale
Purchase
No. of units
60
120
80
50
100
60
30
100
Per Unit
$1,500
1,800
5,000
5,000
2,000
5,000
5,000
2,200
Total
$90,000
216,000
400,000
250,000
200,000
300,000
150,000
220,000
1. Record the inventory, purchases and cost of goods sold in a Perpetual Inventory record using the FIFO method.
Date
3-Mar
Quantity
Purchases
Unit Cost
Total Cost
8-Mar
120
1,800
216,000
Quantity
Cost of Goods Sold
Unit Cost
Total Cost
Quantity
60
Inventory On Hand
Unit Cost
Total Cost
1,500
90,000
60
120
1,500
1,800
90,000
216,000
11-Mar
60
20
1,500
1,800
90,000
36,000
100
1,800
180,000
30-Mar
50
1,800
90,000
50
1,800
90,000
50
100
1,800
2,000
90,000
200,000
8-Apr
100
2,000
200,000
10-Apr
50
10
1,800
2,000
90,000
20,000
90
2,000
180,000
19-Apr
30
2,000
60,000
60
2,000
120,000
60
100
2,000
2,200
120,000
220,000
28-Apr
100
2,200
220,000
2. Determine the total sales and the total cost of goods sold for the period. Journalize the entries in the
sales and cost of goods sold account. Assume that all sales were on account.
Total Sales:
$
Total Cost of Goods Sold:
11-Mar
80 units @ $5,000
400,000
11-Mar
60 units @ $1,500
30-Mar
50 units @ $5,000
250,000
20 units @ $1,800
10-Apr
60 units @ $5,000
300,000
30-Mar
50 units @ $1,800
19-Apr
30 units @ $5,000
150,000
10-Apr
50 units @ $1,800
1,100,000
10 units @ $2,000
19-Apr
GENERAL JOURNAL
DATE
ACCOUNTS
8-Mar Inventory (120 x $1,800)
Account Payable
Record purchase of inventory on account.
$
90,000...
