7. LIFO vs FIFO Consider the following record of inventories for NINO (Nothing-In-Nothing-Out) Retailing: Year 1: bought 4 units for $12 each; sold 2 unit. Year 2: bought 5 units for $15 each; sold 4 units. Year 3: bought 6 units for $16 each; sold 8 units. Assume further that the company uses LIFO and the periodic inventory system. In addition, the marginal tax rate is 21%. 7.1 Complete the following table (shaded cells): Year ElAFo EluFo LIFO reserve ALIFO reserve COGSUFO -COGSFIFO NIFIFO - NluFO 1 2

7. LIFO vs FIFO Consider the following record of inventories for NINO (Nothing-In-Nothing-Out) Retailing: Year 1: bought 4 units for $12 each; sold 2 unit. Year 2: bought 5 units for $15 each; sold 4 units. Year 3: bought 6 units for $16 each; sold 8 units. Assume further that the company uses LIFO and the periodic inventory system. In addition, the marginal tax rate is 21%. 7.1 Complete the following table (shaded cells): Year ElAFo EluFo LIFO reserve ALIFO reserve COGSUFO -COGSFIFO NIFIFO - NluFO 1 2

Name: 7. LIFO vs FIFOConsider the following record of inventories for NINO
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Description: 7. LIFO vs FIFOConsider the following record of inventories for NINO (Nothing-In-Nothing-Out) Retailing:Year 1: bought 4 units for $12 each; sold 2 unit.Year 2: bought 5 units for $15 each; sold 4 units.Year 3: bought 6 units for $16 each; sold 8 un

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The company has no beginning inventory . Value Added Tax ( VAT ) is 18 % . 5 March : Purchased on account TL 14.000 merchandise inventory + VAT . 12 March : Sold on account merchandise for TL 8.000 + VAT . Cost of the merchandise sold was TL 4.000 . Required : A ) How much is the VAT Deductible ? B ) How much is the VAT Received ? C ) How much should be the VAT payment to the Tax Office on April 26 ?
Marquis Company uses a weighted-average perpetual inventory system and has the following purchases and sales: August 2 11 units were purchased at $2 per unit. August 18 16 units were purchased at $4 per unit. August 29 13 units were sold. What is the amount of the cost of goods sold for this sale? (Round average cost per unit to 2 decimal places.)
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