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Vaughn Company, which uses a periodic inventory system

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Question;1) Vaughn Company, which uses a periodic inventory system, had a beginning inventory on May 1, of 400 units of Product A at a cost of $7 per unit. During May, the following purchases and sales were made.Purchases May 6 --------375 units at $9 May 14-------- 250 units at $10 May 21 ------- 300 units at $11 May 28 ------- 452 units at $13 ---------------- 1350 ----------Sales May 4 --------- 275 units May 8 --------- 300 units May 22-------- 400 units May 24 -------- 225 units -----------------1200----Instructions: Compute the May 31 ending inventory and May cost of goods sold under (a) Average Cost, (b) FIFO, and (c) LIFO. Provide appropriate supporting calculations.(a) Average ? Ending Inventory = $_________, Cost of Goods Sold = $_________.(b) FIFO ? Ending Inventory = $_________, Cost of Goods Sold = $_________.(c) LIFO ? Ending Inventory = $_________, Cost of Goods Sold = $_________.Part 2 Which of the following accounts should be closed with a debit or a credit to Income Summary at the end of the fiscal year? If it is not closed to IncomeSummary, mark as n/a.1. Sales 2. Cost of Goods Sold3. Accumulated Depreciation4. Merchandise Inventory5. Sales Returns and Allowances6. H. Denton, Drawing 7. Freight-out8. Sales Discounts9. JInterest Expense10. H. Denton, Capital--------------------------------------------------------------------------------Please help me solve the missing amounts.1)"All three are related because they are from the same business." ---- This threw me off... please help.Beginning of the year Total Assets = $85,000 Total Liabilities =??? Total Owner's Equity = 35,000End of the Year Total Assets = $90,000 Total Liabilities = 40,000 Total Owner's Equity =???Owner's Equity Changes During the year Investments = $12,000 Drawings = 20,000 Revenues = 80,000 Expenses =???---------------------------------------...2)Calculate B. Petry company's 2010 net income.B. Petry, Capital?January 1, 2010 = $125,000 B. Petry, Capital?December 31, 2010 = 160,000 Petry investments during 2010 = 20,000

 

Paper#45100 | Written in 18-Jul-2015

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