! Required information Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system [LO8-1, 8-4] [The following information applies to the questions displayed below.] Altira Corporation provides the following information related to its inventory during the month of August 2024: August 1 Inventory on hand-2,200 units%;B cost $6.30 each. August 8 Purchased 11,000 units for $5.70 each. August 14 Sold 8,800 units for $12.20 each. August 18 Purchased 6,600 units for $5.20 each. August 25 Sold 7,800 units for $11.20 each. August 28 Purchased 4,200 units for $5.80 each. August 31 Inventory on hand-7,400 units. Exercise 8-14 (Algo) Part 2 2. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2024, balance sheet and the cost of goods sold it would report in its August 2024 income statement using the Average cost method. Note: Round "Average Cost per Unit" to 2 decimal places. Inventory on hand Cost of Goods Sold Perpetual Average Number of units Cost per Inventory unit Value Number of units sold Average Cost per unit Cost of Goods Sold Number of units in inventory Inventory Balance Cost per unit Ending inventory Beginning Inventory Purchase August 8 Sale - August 14 Purchase August 18 Sale - August 25 Purchase - August 28 Total 0 $ 0 0 $ 0 0 $ 0 $ 0 0 $ 0
! Required information Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system [LO8-1, 8-4] [The following information applies to the questions displayed below.] Altira Corporation provides the following information related to its inventory during the month of August 2024: August 1 Inventory on hand-2,200 units%;B cost $6.30 each. August 8 Purchased 11,000 units for $5.70 each. August 14 Sold 8,800 units for $12.20 each. August 18 Purchased 6,600 units for $5.20 each. August 25 Sold 7,800 units for $11.20 each. August 28 Purchased 4,200 units for $5.80 each. August 31 Inventory on hand-7,400 units. Exercise 8-14 (Algo) Part 2 2. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31, 2024, balance sheet and the cost of goods sold it would report in its August 2024 income statement using the Average cost method. Note: Round "Average Cost per Unit" to 2 decimal places. Inventory on hand Cost of Goods Sold Perpetual Average Number of units Cost per Inventory unit Value Number of units sold Average Cost per unit Cost of Goods Sold Number of units in inventory Inventory Balance Cost per unit Ending inventory Beginning Inventory Purchase August 8 Sale - August 14 Purchase August 18 Sale - August 25 Purchase - August 28 Total 0 $ 0 0 $ 0 0 $ 0 $ 0 0 $ 0
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter6: Cost Of Goods Sold And Inventory
Section: Chapter Questions
Problem 50E: Inventory Costing Methods Crandall Distributors uses a perpetual inventory system and has the...
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Required information
Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system [LO8-1, 8-4]
[The following information applies to the questions displayed below.]
Altira Corporation provides the following information related to its inventory during the month of August 2024:
August 1 Inventory on hand-2,200 units%;B cost $6.30 each.
August 8 Purchased 11,000 units for $5.70 each.
August 14 Sold 8,800 units for $12.20 each.
August 18 Purchased 6,600 units for $5.20 each.
August 25 Sold 7,800 units for $11.20 each.
August 28 Purchased 4,200 units for $5.80 each.
August 31 Inventory on hand-7,400 units.
Exercise 8-14 (Algo) Part 2
2. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31,
2024, balance sheet and the cost of goods sold it would report in its August 2024 income statement using the Average cost method.
Note: Round "Average Cost per Unit" to 2 decimal places.
Inventory on hand
Cost of Goods Sold
Perpetual Average
Number
of units
Cost per Inventory
unit
Value
Number
of units
sold
Average
Cost per
unit
Cost of
Goods Sold
Number of
units in
inventory
Inventory Balance
Cost per
unit
Ending
inventory
Beginning Inventory
Purchase August 8
Sale - August 14
Purchase August 18
Sale - August 25
Purchase - August 28
Total
0
$
0
0
$
0
0
$
0
$
0
0
$
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb3e59041-b4e1-4ca1-a56e-6722a80ad3a0%2Fafb36243-836c-46a5-8ea4-a95e2b397454%2Fsrr1haz_processed.png&w=3840&q=75)
Transcribed Image Text:!
Required information
Exercise 8-14 (Algo) Inventory cost flow methods; perpetual system [LO8-1, 8-4]
[The following information applies to the questions displayed below.]
Altira Corporation provides the following information related to its inventory during the month of August 2024:
August 1 Inventory on hand-2,200 units%;B cost $6.30 each.
August 8 Purchased 11,000 units for $5.70 each.
August 14 Sold 8,800 units for $12.20 each.
August 18 Purchased 6,600 units for $5.20 each.
August 25 Sold 7,800 units for $11.20 each.
August 28 Purchased 4,200 units for $5.80 each.
August 31 Inventory on hand-7,400 units.
Exercise 8-14 (Algo) Part 2
2. Using calculations based on a perpetual inventory system, determine the inventory balance Altira would report in its August 31,
2024, balance sheet and the cost of goods sold it would report in its August 2024 income statement using the Average cost method.
Note: Round "Average Cost per Unit" to 2 decimal places.
Inventory on hand
Cost of Goods Sold
Perpetual Average
Number
of units
Cost per Inventory
unit
Value
Number
of units
sold
Average
Cost per
unit
Cost of
Goods Sold
Number of
units in
inventory
Inventory Balance
Cost per
unit
Ending
inventory
Beginning Inventory
Purchase August 8
Sale - August 14
Purchase August 18
Sale - August 25
Purchase - August 28
Total
0
$
0
0
$
0
0
$
0
$
0
0
$
0
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