Accounting

posted by .

The Divine Merchandising Corporation began March operations with merchandise inventory of 6 units, each of which cost $27. During March, Divine Merchandising made the following purchases: (1) March 4, 12 units @ $28 per unit, (2) March 15, 18 units @ $30 per unit, (3) March 26, 14 units @ $32 per unit. During March the Divine Merchandising Company sold the following units at a sales price of $48 per unit: March 6, 11 units, March 20, 17 units, and March 28, 12 units. Operating expenses in March were $640. The Company estimates its income taxes expense will be approximately 35% of income before taxes.Using the FIFO inventory method, determine the inventory dollar amount on March 1.
Answer

a) $288

b) $162

c) $180

d) $192

e) $168

I'm not sure how to get the beginning inv please help thanks.

  • Accounting -

    If you looking for the inventory at the beginning of March then you will ignore all of the question except for the beginning. Therefore your answer should be 6 units X the $27/unit= $162.

  • Accounting -

    thanks

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. Accounting urgent

    Prepare the journal entries to record the following transactions on Panther Company‚Äôs books using a perpetual inventory system. (For multiple debit/credit entries, list accounts in order of magnitude.) (a) On March 2 Panther Company …
  2. Accounting

    I need help with this problem. Could someone possibly explain to me how to prepare the journal entry for this problem?
  3. accounting

    A company that uses perpetual inventory system made the following cash purchases and sales: January 1 Purchased 100 units at $10 per unit. February 5: Purchased 60 units at $12 per unit. March 16: Sold 40 units for $16 per unit. Prepare …
  4. accounting

    A company that uses perpetual inventory system made the following cash purchases and sales: January 1 Purchased 100 units at $10 per unit. February 5: Purchased 60 units at $12 per unit. March 16: Sold 40 units for $16 per unit. Prepare …
  5. Accounting

    Glanville Distribution markets CDs of the performing artist Harrilyn Clooney. At the beginning of March, Glanville had in beginning inventory 1,500 Clooney CDs with a unit cost of $7. During March Glanville made the following purchases …
  6. Accounting

    Glanville Distribution markets CDs of the performing artist Harrilyn Clooney. At the beginning of March, Glanville had in beginning inventory 1,500 Clooney CDs with a unit cost of $7. During March Glanville made the following purchases …
  7. Accounting

    March 3 Inventory units 60 per unit $1,500 total $90,000 March 8 Purchase 120 units $1,800 per unit total $216,000 March 11 Sal units 80 per units $5,000 total $400,000
  8. Math

    Merchandise inventory purchases for a firm for a three month period are: January :2,000 units @ $12 per unit; February 1,800 @ $14 per unit; march 2,600 units @15 per unit. What is the mean unit cost of merchandise inventory?
  9. Accounting

    Date Activities Units Acquired at Cost Units Sold at Retail Mar. 1 Beginning inventory 50 units @ $50/unit Mar. 5 Purchase 200 units @ $55/unit Mar. 9 Sales 210 units @ $85/unit Mar. 18 Purchase 60 units @ $60/unit Mar. 25 Purchase …
  10. statistics

    Merchandise inventory purchases for a firm for a three-month period are: January: 2,000 units @ $12 per unit; February: 1,800 @ $14 per unit; March 2,600 units @ 15 per unit. What is the mean unit cost of merchandise inventory?

More Similar Questions