question 1\n(1.02) turner company had the following activity in its inventory account during march…

question 1\n(1.02) turner company had the following activity in its inventory account during march 2024:\ndate activity units cost per unit total unit costs\nmarch 1 beginning inventory 100 $4.00 $400.00\nmarch 3 purchase 1 45 5.00 225.00\nmarch 5 sale 1 50 9.00 450.00\nmarch 9 purchase 2 60 5.50 330.00\nmarch 12 sale 2 70 10.00 700.00\nmarch 14 purchase 3 10 6.00 60.00\nmarch 15 sale 3 30 12.00 360.00\nmarch 30 purchase 4 35 7.00 245.00\nbased on this information, what is the ending inventory balance at march 31, 2024, for turner company if the company uses perpetual fifo as its inventory valuation method?\nanswer\n$652.50\n$607.50\n$1,260.00\n$904.00\ni dont know yet

question 1\n(1.02) turner company had the following activity in its inventory account during march 2024:\ndate activity units cost per unit total unit costs\nmarch 1 beginning inventory 100 $4.00 $400.00\nmarch 3 purchase 1 45 5.00 225.00\nmarch 5 sale 1 50 9.00 450.00\nmarch 9 purchase 2 60 5.50 330.00\nmarch 12 sale 2 70 10.00 700.00\nmarch 14 purchase 3 10 6.00 60.00\nmarch 15 sale 3 30 12.00 360.00\nmarch 30 purchase 4 35 7.00 245.00\nbased on this information, what is the ending inventory balance at march 31, 2024, for turner company if the company uses perpetual fifo as its inventory valuation method?\nanswer\n$652.50\n$607.50\n$1,260.00\n$904.00\ni dont know yet

Answer

Explanation:

Step1: Calculate units available for sale

Total units available = 100 (beginning inventory)+45 (purchase 1)+60 (purchase 2)+10 (purchase 3)+35 (purchase 4)=250 units

Step2: Calculate total units sold

Total units sold = 50 (sale 1)+70 (sale 2)+30 (sale 3)=150 units

Step3: Calculate ending - inventory units

Ending - inventory units = 250 - 150=100 units

Step4: Allocate costs using FIFO

Under FIFO, the ending - inventory comes from the most recent purchases. From purchase 4: 35 units at $7.00 per unit, cost = 35×$7.00 = $245 From purchase 3: 10 units at $6.00 per unit, cost = 10×$6.00 = $60 From purchase 2: 100-(35 + 10)=55 units at $5.50 per unit, cost = 55×$5.50=$302.5 Total ending - inventory cost = $245 + $60+302.5=$607.5

Answer:

$607.50