Problem 6 8A (Part Level Submission) Wildhorse Co. is a retailer operating in Ca
ID: 340935 • Letter: P
Question
Problem 6 8A (Part Level Submission) Wildhorse Co. is a retailer operating in Calgary, Alberta. Wildhorse Co. uses the perpetual invento following information for Wildhorse Co. for the month of Janua ry method. Assume that there are no credit transactions; all amounts are settled in cash. You are provided with Description Quantit Unit Cost or Selling Price Date Dec. 31 Ending inventory Jan. 2 Purchase Jan. 6 Sale Jan. 9 Purchase Jan. 10 Sale Jan. 23 Purchase lan. 30 Sale 148 24 184 52 130 (al) (a2) For each of the following cost flow assumptions, calculate (i) cost of goods sold, (u) ending inventory, and (ii) gross profit. (Round answers to O dcimal places, e.o, 12s) (1) LIFO. (2) FIFO (3) Moving-average. LIFO FIFO Moving average Cost of goods sold Ending inventory s Gross profitExplanation / Answer
STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL FIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 148 22 3256 2-Jan 98 24 2352 148 22 3256 98 24 2352 6-Jan 148 22 3256 62 24 1488 36 24 864 9-Jan 80 26 2080 62 24 1488 80 26 2080 10-Jan 52 24 1248 10 24 240 80 26 2080 23-Jan 94 27 2538 10 24 240 80 26 2080 94 27 2538 30-Jan 10 24 240 80 26 2080 40 27 1080 54 27 1458 TOTAL 272 6970 366 8768 54 27 1458 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL LIFO METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 148 22 3256 2-Jan 98 24 2352 148 22 3256 98 24 2352 6-Jan 98 24 2352 62 22 1364 86 22 1892 9-Jan 80 26 2080 62 22 1364 80 26 2080 10-Jan 52 26 1352 62 22 1364 28 26 728 23-Jan 94 27 2538 62 22 1364 28 26 728 94 27 2538 30-Jan 8 22 176 28 26 728 94 27 2538 54 22 1188 TOTAL 272 6970 366 9038 54 22 1188 STATEMENT SHOWING INVENTORY RECORD UNDER PERPETUAL WEIGHTED AVERAGE METHOD RECIEPTS COST OF GOODS SOLD BALANCE DATE UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ UNITS RATE AMOUNT $ 1-Jan 148 22 3256 2-Jan 98 24 2352 148 22 3256 98 24 2352 Average 246 22.8 5608 6-Jan 184 22.8 4195 62 22.8 1413 9-Jan 80 26 2080 62 22.8 1413 80 26 2080 Average 142 24.6 3493 10-Jan 52 24.6 1279 90 24.6 2214 23-Jan 94 27 2538 90 24.6 2214 94 27 2538 Average 184 25.83 4752 30-Jan 130 25.83 3358 54 25.83 1394 TOTAL 272 6970 366 8832 54 25.83 1394 Total sales: LIFO FIFO Average Sales (184 units @39+52 units @ 44 +130 units @447) 15574 15574 15574 Less: COGS 9038 8768 8832 Gross Profit 6536 6806 6742 LIFO FIFO Average Cost of Goods sold 9038 8768 8832 Ending inventory 1188 1458 1394 Gross Profit 6536 6806 6742