Which of the following businesses is most likely to use a specific identification cost flow method? A)Car dealership B)Grocery store C)Hardware store D)Roofing company
Vargas Company uses the perpetual inventory method.Vargas purchased 400 units of inventory that cost $15.00 each.At a later date the company purchased an additional 800 units of inventory that cost $18.00 each.Vargas sold 500 units of inventory for $27.00.If Vargas uses a FIFO cost flow method,the amount of cost of goods sold appearing on the income statement will be: A)$7,800. B)$6,000. C)$4,500. D)$5,700.
Tetra Company purchased 2,000 units of inventory that cost $4.00 each on January 1,2016.An additional 3,000 units of inventory were purchased on January 12,2016 at a cost of $4.20 each.Tetra Company sold 4,000 units of inventory on January 20,2016.Which of the following entries would be required to recognize the cost of goods sold assuming that Tetra Co.uses the perpetual inventory method and a FIFO cost flow method?
Use the following information for questions Chase Co.uses the perpetual inventory method.The inventory records for Chase reflected the following -Assuming Chase uses a LIFO cost flow method,the amount of cost of goods sold for the sales transaction on January 18 is (round the final result to the nearest whole dollar): A)$1,150. B)$1,050. C)$1,070. D)$1,130.