Key Assignment

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award:

10 points
Russell Retail Group begins the year with inventory of $55,000 and ends the year with inventory of
$29,000. During the year, the following amounts are recorded.

Purchases
Purchase returns
Purchase discounts
Freight-in
Freight-out

$ 190,000
20,000
13,000
36,000
21,000

Required:
Calculate cost of goods sold for the year. (Omit the "$" sign in your response.)

Cost of goods sold
Worksheet

$
Difficulty: Medium

Learning Objective: 06-2

[The following information applies to the questions displayed below.]

During 2010, TRC Corporation has the following inventory transactions. [cal2a]

Date
Jan. 1
Apr. 7
Jul. 16
Oct. 6

Transaction
Beginning inventory
Purchase
Purchase
Purchase

Number of units
32
128
184
102
446

Unit cost $ 31
33
36
40

Total cost
$ 992
4,224
6,624
4,080
$ 15,920

For the entire year, the company sells 376 units of inventory for $53 each and uses a periodic inventory system. award:

10 points
Requirement 1:
Using FIFO, calculate (a) ending inventory, (b) cost of goods sold, (c) sales revenue, and (d) gross profit.
(Omit the "$" sign in your response.)

10/4/2010 9:55 PM

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(a)
(b)
(c)
(d)

Ending inventory
Cost of goods sold
Sales revenue
Gross profit

$
$
$
$

Worksheet

Difficulty: Hard

Learning Objective: 06-3

award:

10 points
Requirement 2:
Using LIFO, calculate (a) ending inventory, (b) cost of goods sold, (c) sales revenue, and (d) gross profit.
(Omit the "$" sign in your response.)

(a)
(b)
(c)
(d)

Ending inventory
Cost of goods sold
Sales revenue
Gross profit

$
$
$
$

Worksheet

Difficulty: Hard

Learning Objective: 06-3

award:

10 points
Requirement 3:
Using average cost, calculate (a) ending inventory, (b) cost of goods sold, (c)