Brief Exercise BE5-1 Sales

Cost of Goods Sold

Gross Profit

Operating Expenses

Net Income 71,200

(b)

30,000

(d)

          10,800

108,000

70,000

(c)

(e)

          29,500

(a)

71,900

109,600

46,200

(f) Click here if you would like to Show Work for Brief Exercise BE5-2 Prior Company Account/Description Debit Credit

Wood Company Account/Description Debit Credit

(To record the sale)

(To record the cost of inventory)

Brief Exercise BE6-5 In its first month of operation, Maze Company purchased 100 units of inventory for 6, then 200 units for 7, and finally 150 units for 8. At the end of the month, 180 units remained. Compute the amount of phantom profit that would result if the company used FIFO rather than LIFO. The company uses...