[The following information applies to the questions displayed below.] Warnerwoods Company uses a perpetual inventory...
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Accounting
[The following information applies to the questions displayed below.] Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.
Date
Activities
Units Acquired at Cost
Units Sold at Retail
Mar.
1
Beginning inventory
90
units
@ $50.80 per unit
Mar.
5
Purchase
220
units
@ $55.80 per unit
Mar.
9
Sales
250
units
@ $85.80 per unit
Mar.
18
Purchase
80
units
@ $60.80 per unit
Mar.
25
Purchase
140
units
@ $62.80 per unit
Mar.
29
Sales
120
units
@ $95.80 per unit
Totals
530
units
370
units
4. Compute gross profit earned by the company for each of the four costing methods. For specific identification, the March 9 sale consisted of 60 units from beginning inventory and 190 units from the March 5 purchase; the March 29 sale consisted of 40 units from the March 18 purchase and 80 units from the March 25 purchase. (Round weighted average cost per unit to two decimals and final answers to nearest whole dollar.)
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