ADMS 2500 Lecture Notes - Dividend Yield, Inventory Turnover, Current Liability
ADMS 2500 Full Course Notes
Get access
Related Documents
Related Questions
Consider the following partially completed income statements for merchandising companies and compute the missingâ amounts under the Flynt Corp. table below the following Data Table:
â view the Incomeâ Statements:
Data Table :
Rustic Gear | Flynt Corp. | |||||
Sales | $ | 98,000 | $ | (d) | ||
Cost of Goods Sold: | ||||||
Beginning Merchandise Inventory | (a) | 31,000 | ||||
Purchases and Freight In | 50,000 | (e) | ||||
Cost of Goods Available for Sale | (b) | 91,000 | ||||
Ending Merchandise Inventory | (2,200) | (2,200) | ||||
Cost of Goods Sold | 63,000 | (f) | ||||
Gross Profit | 35,000 | 114,000 | ||||
Selling and Administrative Expenses | (c) | 86,000 | ||||
Operating Income | $ | 10,000 | $ | (g) |
Rustic Gear | ||
Sales | $98,000 | |
Cost of Goods Sold: | ||
Beginning Merchandise Inventory | 15,200 | |
Purchases and Freight In | 50,000 | |
Cost of Goods Available for Sale | 65,200 | |
Ending Merchandise Inventory | (2,200) | |
Cost of Goods Sold | 63,000 | |
Gross Profit | 35,000 | |
Selling and Administrative Expenses | 25,000 | |
Operating Income | $10,000 |
Flynt Corp. | |
__?___ | |
$31,000 | |
__?___ | |
91,000 | |
(2,200) | |
114,000 | |
86,000 | |
__?____ |
Yang Corporation uses the periodic inventory system. Thefollowing sales and purchases of the same product were made during20x1 at Yang Corporation. The opening inventory consisted of 50units at $2 each.
Purchases | Sales | ||||||
Date | Units | $ per unit | Date | Units | Unit $Price | Total | |
March 15 | 200 | 3 | April 25 | 250* | 5 | ||
June 15 | 600 | 5 | June 30 | 500** | 6 |
*for specific identification, sold 50 units of opening inventoryand 200 units of March 15 purchase
**for specific identification, sold 500 units of June 15purchase
Requirements:
1. Calculate cost of goods sold and the cost of ending inventoryunder FIFO, LIFO, specific identification, and weighted averageinventory cost flow assumptions. Use the student template #1
2. Calculate and compare the effect on profit of the fourinventory cost flow assumptions.
ACT300 Principlesof Accounting I | |||||||||||||
Module 4: Critical ThinkingTemplate Option #1 | |||||||||||||
FIFO | Units | Cost per unit | Sale per Unit | Totals | |||||||||
Beginning Inventory | - | $0.00 | $0.00 | $0 | |||||||||
Purchases and Sales | |||||||||||||
Mar 15-Purchase | - | $0.00 | $0.00 | $0 | Data from the problem | ||||||||
April 25-Sale | - | $0.00 | $0.00 | 0 | The opening inventory consisted of 50 units at $2each. | ||||||||
Jun 15-Purchase | - | $0.00 | $0.00 | 0 | |||||||||
Jun 30-Sale | - | $0.00 | $0.00 | 0 | Purchases | Sales | |||||||
Cost of Goods Available for Sale | - | $0.00 | $0.00 | $0 | Date | Units | $ per unit | Date | Units | Unit $Price | |||
Cost of Goods Sold (COGS) | - | $0.00 | $0.00 | 0 | 15-Mar | 200 | 3 | 25-Apr | 250* | 5 | |||
Ending Inventory | - | $0.00 | $0.00 | $0 | 15-Jun | 600 | 5 | 30-Jun | 500** | 6 | |||
COGS Calculation | Units | COGS | SalesTotals | Gross Profit | |||||||||
Beginning Inventory | - | $0.00 | $0.00 | $0 | |||||||||
Purchases - Mar 15 | - | $0.00 | $0.00 | $0 | |||||||||
Sale - April 25 | - | $0.00 | $0.00 | $0 | |||||||||
Purchases - June 15 | $0.00 | $0.00 | $0 | ||||||||||
Sale - June 30 | $0.00 | $0.00 | $0 | ||||||||||
. | . | ||||||||||||
Totals | - | $0.00 | $0.00 | $0 |