The following transactions took place during January 2017 at Alabaster Corp.
|
Purchased |
Sold |
Balance in Inventory |
||||||||
|
Date |
Units |
Unit cost |
Total $ |
Units |
Unit cost |
Total $ |
Units |
Unit cost |
Total $ |
|
|
Jan. 1 |
200 |
$1 |
||||||||
| 10 |
200 |
$2 |
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| 15 |
200 |
|||||||||
| 20 |
300 |
$3 |
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| 25 |
400 |
|||||||||
| 30 |
300 |
$3 |
||||||||
Assume the units were sold on account for $3 each on January 15 and $4 each on January 25.
Required:
- Calculate ending inventory and cost of goods sold under each of
- FIFO/perpetual
- Specific identification/perpetual (assume newest units are sold first)
- Weighted average/perpetual.
- Prepare the journal entries required under the FIFO/perpetual costing method.
- (Appendix) Prepare the journal entries required under the FIFO/periodic costing method, including the January 31 adjustment to record ending inventory.
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