Company A uses a perpetual system to record inventory transa…

Company A uses a perpetual system to record inventory transactions. The company purchases 1,500 units of inventory on account on February 2 for $60,000 ($40 per unit) but then returns 100 defective units on February 5.  Record the inventory purchase on account on February 2 (account  debited, account credited and amount).

During the month a company has the following purchases:  M…

During the month a company has the following purchases:  March 1 – 10 units, $30 each March 3 – 6 units, $40 each March 15 – 20 units, $20 each During the month, the company sells 11 units.  Calculate the Ending inventory using FIFO as of the end of the month, assuming there is no beginning inventory.  Include your calculation in the space provided.