With $2,000 in cash, Crystal Apple sales began its 2010 operations.
Stock of inventory $3,600 (200 Crystal apples at $18 per each), $2,500
Common Stock and 3,100 in retained earnings. The following
During 2010, events took place
1. Crystal Apple purchased more inventory two times during the year
2014. It cost $20 to purchase 800 apples.
Each of them cost $24 and each contained 1,200 apples.
All purchases were made on account.
2. 2.040 Apples were sold by the company for cash, at a price of
3. Company paid $44,800 cash for accounts.
4. Crystal Apple spent $26,000 on operating expenses.
Assume a 30% income tax rate. Crystal Apple paid
Cash income tax expense
a. Calculate the end inventory and price of all goods sold
The three cost flow assumptions are: FIFO (low-interest), LIFO (high-interest), and Weighted.
b. Prepare an income statement, balance sheet and statement.
Cash flows for each cost-flow assumption.
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