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Ancaster Wholesale Inc. had the following inventory transactions for one month. The company uses a perpetual system and FIFO. All purchases and sales are on account. # of unit cost or items sale price May 1 Opening $30 balance May 5 Purchase $32 Purchase May 7 of May 5 items returned May 10 Sale 50 $40 50 25 -5 May 12 Purchase 25 $34 May 17 Sale 20 $50 May 24 Purchase 35 $35 Use an inventory cost chart and an accounting chart to analyze the above transactions, and then answer the questions below. Where you are asked to enter a percentage, you may enter it in any of several ways. For example, 78 percent can be entered as 78%, 78, 0.78, or 78. Dollar figures should be entered WITHOUT dollar signs, commas, or decimal points. How will the May 5 purchase of inventory be recorded? Select all that apply. (2 marks) a) increase Accounts Payable b) decrease Cash Oc) increase Cost Of Goods Sold d) increase Inventory e) increase Purchases f) decrease Cost Of Goods Sold Question 41 (2 points) How will the May 7 purchase return be recorded? Select all that apply. (2 marks) a) increase Inventory b) increase Cost Of Goods Sold Oc) decrease Cash d) decrease Accounts Payable e) increase Purchase Returns f) decrease Inventory g) decrease Purchases Oh) decrease Cost Of Goods Sold Question 42 (1 point) What is the value of the inventory after the May 7 transaction? A/ Question 43 (4 points) How will the May 10 sale be recorded? Select all that apply. (4 marks) a) decrease Sales b) increase Cost of Goods Sold c) increase Sales d) decrease Accounts Receivable e) increase Inventory f) decrease Inventory g) increase Cash in decrease Cost of Goods Sold g) increase Cash Oh) decrease Cost of Goods Sold i) decrease Cash 1) increase Accounts Receivable Question 44 (1 point) What amount of cost of goods sold will be recorded on May 10? Question 45 (1 point) What is the value of the inventory after the May 10 transaction? A/ Question 46 (1 point) What is the gross profit percentage on the May 10 sale? What is the amount of gross profit on the May 10 sale? A/ Question 48 (1 point) What is the value of the inventory after the May 12 transaction? AM Question 49 (1 point) What amount of cost of goods sold will be recorded on May 17? Question 50 (1 point) What is the value of the inventory after the May 17 transaction? A/ 44 Question 56 (2 points) What is the amount of the adjustment that must be made to inventory at the end of the month if the selling price drops to $20? Start your answer with a + sign if an increase, a - sign if a decrease, or enter O if no adjustment is needed. (2 marks) A Question 57 (2 points) What is the amount of the adjustment that must be made to inventory at the end of the month if the selling price drops to $35? Start your answer with a + sign if an increase, a - sign if a decrease, or enter O if no adjustment is needed. (2 marks) A/

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