Exercise 1- Part Level Submission
Pharoah Company sells one product. Presented below is information for January for Pharoah Company
|
Jan. 1
|
Inventory
|
121
|
units at $4 each
|
|
4
|
Sale
|
100
|
units at $8 each
|
|
11
|
Purchase
|
159
|
units at $6 each
|
|
13
|
Sale
|
126
|
units at $9 each
|
|
20
|
Purchase
|
175
|
units at $7 each
|
|
27
|
Sale
|
114
|
units at $11 each
|
Pharoah uses the FIFO cost flow assumption. All purchases and sales are on account.
Assume Pharoah uses a periodic system. Prepare all necessary journal entries, including the end-of-month closing entry to record cost of goods sold. A physical count indicates that the ending inventory for January is 115 units