Given the following information, determine the journal entries: a. using the wei

Question

Given the following information, determine the journal entries:    

a. using the weighted average perpetual inventory method.

b. using the LIFO perpetual inventory method.

c. using the FIFO perpetual inventory method.

March beginning inventory is 5 units at $6 per unit.             

March 3: 15 units were purchased at $7 per unit.
March 11: 10 units were purchased at $9 per unit.

March 15: 20 units were sold at $15 per unit.

March 18: 35 units were purchased at $10 per unit.
March 31: 30 units were sold at $20 per unit.

CALCULATE JOURNAL ENTRIES FROM ABOVE INFORMATION:

JOURNAL ENTRIES:

Explanation / Answer

a. Weighted Average Method Date Purchase Sales Balance Quantity Rate Amount Quantity Rate Amount Quantity Rate Amount March3 5 $6.00 $30.00 March 3 15 $7.00 $105.00 20 $6.75 $135.00 March11 10 $9.00 $90.00 30 $7.50 $225.00 March15 20 $7.50 $150.00 10 $7.50 $75.00 March 18 35 $10 $350.00 45 $9.44 $425.00 March 31 30 $9.44 $283.33 15 $9.44 $141.67 Weighted Average perpetual inventory Method JOURNAL ENTRIES Date Account Titles Debit Credit March3 Inventory $105.00 Accounts Payable $105.00 March11 Inventory $90.00 Accounts Payable $90.00 March 15 Accounts Receivable $300 Sales $300 Cost of goods sold $150.00 Inventory $150.00 March18 Inventory $350.00 Accounts Payable $350.00 March 31 Accounts Receivable $600 Sales $600 Cost of goods sold $283.33 Inventory $283.33 b LIFO perpetual inventory method Date Purchase Sales Balance Quantity Rate Amount Quantity Rate Amount Quantity Rate Amount March3 5 $6.00 $30.00 March 3 15 $7.00 $105.00 5 $6.00 $30.00 15 $       7.00 $ 105.00 March11 10 $9.00 $90.00 5 $       6.00 $    30.00 15 $       7.00 $ 105.00 10 $       9.00 $    90.00 March15 10 $       9.00 $    90.00 5 $       6.00 $    30.00 10 $       7.00 $70.00 5 $       7.00 $35.00 March 18 35 $10 $350.00 5 $       6.00 $    30.00 5 $       7.00 $    35.00 35 $    10.00 $ 350.00 March 31 30 $    10.00 $300.00 5 $       6.00 $    30.00 5 $       7.00 $    35.00 5 $10.00 $50.00 LIFO perpetual inventory Method JOURNAL ENTRIES Date Account Titles Debit Credit March3 Inventory $105.00 Accounts Payable $105.00 March11 Inventory $90.00 Accounts Payable $90.00 March 15 Accounts Receivable $300 Sales $300 Cost of goods sold $         160.00 Inventory $160.00 March18 Inventory $350.00 Accounts Payable $350.00 March 31 Accounts Receivable $600 Sales $600 Cost of goods sold $300.00 Inventory $300.00 c. FIFO Perpetual Inventory method Date Purchase Sales Balance Quantity Rate Amount Quantity Rate Amount Quantity Rate Amount March3 5 $6.00 $30.00 March 3 15 $7.00 $105.00 5 $6.00 $30.00 15 $       7.00 $ 105.00 March11 10 $9.00 $90.00 5 $       6.00 $    30.00 15 $       7.00 $ 105.00 10 $       9.00 $    90.00 March15 5 $       6.00 $    30.00 10 $       9.00 $    90.00 15 $       7.00 $ 105.00 March 18 35 $10 $350.00 10 $       9.00 $    90.00 35 $    10.00 $ 350.00 March 31 10 $       9.00 $90.00 15 $    10.00 $ 150.00 20 $    10.00 $200.00 FIFO perpetual inventory Method JOURNAL ENTRIES Date Account Titles Debit Credit March3 Inventory $105.00 Accounts Payable $105.00 March11 Inventory $90.00 Accounts Payable $90.00 March 15 Accounts Receivable $300 Sales $300 Cost of goods sold $         135.00 Inventory $135.00 March18 Inventory $350.00 Accounts Payable $350.00 March 31 Accounts Receivable $600 Sales $600 Cost of goods sold $290.00 Inventory $290.00

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