Question - Perpetual versus Periodic Inventory Systems

Assignment Help Accounting Basics

Reference no: EM132681826

Question - Perpetual versus Periodic Inventory Systems

Exot Inc. had used a perpetual inventory system, the timing of purchases and sales would affect the amounts of cost of sales and inventory. Following is a record of the purchases, sales, and quantity of inventory on hand after the transaction on January 2009.

The amounts for total goods available for sale and sales are the same under either the perpetual or periodic system in the period operation. The carrying amount of the ending inventory, however, may differ because the perpetual system will apply LIFO continuously throughout the month. Under the periodic system, it was assumed that the ending inventory was composed of 1,000 units of the oldest inventory, which cost Rp 3/kg. What are the ending inventory, cost of sales, and gross profit amounts using the perpetual system and the LIFO method? How do these compare with the amounts using the periodic system and the LIFO method?

Reference no: EM132681826

Questions Cloud

CASE STUDY - LONG TERM FINANCIAL PLANNING : CASE STUDY - LONG TERM FINANCIAL PLANNING - Can you help Mr. Jackson develop a financial plan? Do you think his growth plan is feasible

Growing core innovation competencies : A firm's overall level of core competence is usually indicated by the length of its durability, its customer interest in the marketplace

Prepare the amortization table : On January 1, 20x1, Athena Co. acquired P1,000,000 face amount, 14% bonds for P1,060,747. Prepare the amortization table

How does author describe organizational behavior : Identify the premise of the article and supporting points. How does the author describe organizational behavior?

Question - Perpetual versus Periodic Inventory Systems : Question - Perpetual versus Periodic Inventory Systems - How do these compare with the amounts using the periodic system and the LIFO method

Discuss the future of operations analytics : Discuss the future of operations analytics. You should include a section that specifically covers digital analytics.

What amount of income tax expense should the bank report : This amount is excluded from First Bank's taxable income of $90 million. Assuming a 25% tax rate, what amount of income tax expense should the bank report

Describes one government financed program : Describes one government financed program within the state or local government.

Compute the income tax expense : the debit and credit entries had balances of $24,750 and $38,750, If appropriate tax rate for Hogue Corporation is 30 percent, the 2019 income tax expense be

User Account

All Pages