The following list summarizes the transactions that took place during a start up's second year...
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Accounting
The following list summarizes the transactions that took place during a start up's second year of operations. Using the information below (and assuming FIFO for inventory), how would I create a list of the appropriate journal entries? (There were 150 units of inventory, which had been purchased at $10 per unit, left at the end of Year One)
a. Ordered and received 200 units of inventory purchased on account for $11 each
b. Delivered 150 units of inventory to customer who ordered on account for $16 each
c. At the start of the year, purchased a small R&D business for $85, consisting of the following
items (fair value in parentheses):
-Land ($20)
-Patents ($50) w/ 10 years of useful life remaining
d. Spent $25 on research and development.
e. Ordered and received 100 units of inventory purchased on account for $13 each
f. A customer placed an order on account for 250 units at $17 each. 220 units were delivered.
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