Reference no: EM133173079

Question - Accounting for inventory transactions under FIFO costing) Accounting records for Richard Corporation yield the following data for the year ended December 31, 20X6:

Inventory, December 31, 20X5 $9,000

Purchases of inventory (on account) 48,000

Sales of inventory-79% on account; 21% for cash (cost $41,000) 77,000

Inventory at FIFO, December 31, 20X6 16,000

Required -

1. Journalize Richard's inventory transactions for the year under the perpetual system.

2. Report ending inventory, sales, cost of goods sold, and gross profit on the appropriate financial statement.