1) Fill in the missing numbers on the perpetual inventory record. The company uses the weighted average cost for inventory.

Do not enter dollar signs or commas in the input boxes. Round your answers to the nearest whole dollar. Enter sales quantity and sales amounts as negative values.

Inventory Account
		Purchase/Sale		Quantity on Hand
Transaction	Description	Quantity	Amount	Quantity	Amount
#1	Purchase from AAA Co.	290	$4,930	Answer	$Answer
#2	Sale to RRR Co.	Answer	$Answer	100	$1,700
#3	Sale to FFF Co.	-40	$Answer	60	$1,020
#4	Purchase from BBB	70	$840	Answer	$Answer
#5	Sale to UUU Co.	-70	$Answer	60	$Answer

b) Based on the information in part a), what is the total cost of the units sold to UUU Co. using Specific Identification? 20 of the units sold to UUU were purchased from AAA, and 50 units were purchased from BBB .

Total Cost = $Answer

c) Complete the following table, based on the information from part a) and b).

	Specific Identification	Average Cost	FIFO
Inventory balance before sale to UUU	Answer	Answer	Answer
COGS on sale to UUU	Answer	Answer	Answer
Closing Inventory Balance	Answer	Answer	Answer

AC Supermarkets bought $2,230 worth of groceries on account from a produce supplier on September 4th. On September 5th, ACs bookkeeper was informed that $310 worth of tomatoes was substandard and returned to the supplier. Prepare the journal entry to record the purchase return. Assume they use the perpetual inventory system.

Do not enter dollar signs or commas in the input boxes.

Date	Account Title and Explanation	DR	CR
Sep 5	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

A company reported ending inventory of $94,400 in year 1. It was discovered in year 2 that the correct value of the ending inventory was $87,200 for year 1. Complete the following table, based on this information. Assume the company uses perpetual inventory.

Do not enter dollar signs or commas in the input boxes. Use the negative sign for negative values. If an item's value does not change, enter the Reported amount as the Correct amount.

Item	Reported	Correct Amount
Inventory	$94,400	Answer
Current Assets	$142,000	Answer
Total Assets	$495,000	Answer
Owner's Equity end of year 1	$189,000	Answer
Sales	$956,000	Answer
Cost of Goods Sold	$488,000	Answer
Profit for year 1	$9,700	Answer

A company has three types of products: gadgets, widgets and gizmos. The cost of each type is listed below. Complete the table by applying the lower of cost or market method.

Do not enter dollar signs or commas in the input boxes.

				Lower of Cost or Market Applied to
Description	Category	Cost	Market	Individual	Category	Total
Gadget 1	Gadgets	$1,290	$1,360	Answer
Gadget 2	Gadgets	$4,740	$5,110	Answer
Total Gadgets		Answer	Answer		Answer
Widget A	Widgets	$890	$640	Answer
Widget B	Widgets	$500	$270	Answer
Total Widgets		Answer	Answer		Answer
Gizmo 1	Gizmo	$1,490	$1,210	Answer
Gizmo 2	Gizmo	$1,820	$2,300	Answer
Total Gizmos		Answer	Answer		Answer
Total		Answer	Answer	Answer	Answer	Answer