Nicole's Getaway Spa (NGS) has been so successful that Nicole has decided to expand her spa by selling merchandise. She sells things such as nail polish, at-home spa kits, cosmetics, and aromatherapy items. Nicole uses a perpetual inventory system and is starting to realize all of the work that is created when inventory is involved in a business. The following transactions were selected from among those completed by NGS in August. Aug. 2 Sold a bundle of spa services with a merchandise basket. when sold separately, the spa service part of the bundle sells for $480 and the merchandise basket normally sells for $180. Together, the bundle was sold to Val Amy for cash at a selling price of $45e (total). Val booked a spa treatment for August 1e, and she took the basket of goods with her. The goods had cost NGS $8e. Aug. 3 Sold 5 identical items of merchandise to Cosmetics R US on account at a selling price of $500 (total); terms n/30. The goods cost NGS $48e. Aug. 6 Cosmetics R Us returned one of the five items purchased on August 3. The item could still be sold by NGS in the future and credit was given to the customer. Aug. 10 Val Amy used one of the three spa treatments she had purchased as part of the bundle sold to her on August 2. Aug. 20 Sold two at-home spa kits to Meghan Witzel for $300 cash. The goods cost NGS $96. Aug. 22 Cosmetics R Us paid its remaining account balance in full. equired: 1. Prepare journal entries for each transaction. No additional sales returns are expected. (If no entry is requlre transaction/event, select "No Journal Entry Required" In the first account fleld.) View transaction list

Fancy Iron began August with 45 units of iron inventory that cost $24 each. During August, the company completed the following inventory transactions: Requirement 1. Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. Start by entering the beginning inventory balances. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.) - X Cost of Goods Sold Inventory on Hand Requirements Unit Cost Unit Cost Purchases Unit Date Quantity Cost Aug. 1 3 81 21 30 Totals Total Cost Quantity Total Cost Quantity C Total Cost 1. Prepare a perpetual inventory record for the merchandise inventory using the FIFO inventory costing method. 2. Prepare a perpetual…

Every day, businesses have to make decisions that affect their bottom line. One such decision pertains to valuing inventory. Imagine that you have decided to open a new electronics store. As one of your first tasks, your accountant has asked you to adopt an inventory cost assumption for inventory valuation. Explain which method you would adopt and why.

Greg’s Bicycle Shop has the following transactions related to its top-selling Mongoose mountain bike for the month of March. Greg's Bicycle Shop uses a periodic inventory system. Date   Transactions Units   Unit Cost   Total Cost March 1   Beginning inventory   20     $ 175       $ 3,500     March 5   Sale ($250 each)   15                       March 9   Purchase   10       195         1,950     March 17   Sale ($300 each)   8                       March 22   Purchase   10       205         2,050     March 27   Sale ($325 each)   12                       March 30   Purchase   8       225         1,800                               $ 9,300       For the specific identification method, the March 5 sale consists of bikes from the beginning inventory, the March 17 sale consists of bikes from the March 9 purchase, and the March 27 sale consists of four bikes from the beginning inventory and eight bikes from the March 22 purchase. Required: ***Only Ending…