Advanced Placement (AP), 03.07.2021 16:10 RayBanMan2017
Altira Corporation uses a perpetual inventory system. The following transactions affected its merchandise inventory during the month of August 2013: Aug. 1 Inventory on hand………….. 2,000 units; cost $6.00 each. 8 Purchased ………………….. 10,000 units for $5.00 each. 14 Sold …………………………8,000 units for $12.00 each. 18 Purchased …………………...6,000 units for $5.00 each. 25 Sold ………………………7,000 units for $11.00 each. 31 Inventory on hand …………...3,000 units. Required: Determine the inventory balance Altira would report in its August 31, 2013, balance sheet and the cost of goods sold it would report in its August 2013 income statement using each of the following cost flow methods: 1. First-in, first-out (FIFO) 2. Last-in, first-out (LIFO) 3. Average cost
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Altira Corporation uses a perpetual inventory system. The following transactions affected its mercha...
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