accounting for merchandising businesses

Ts performed a manual count on May 31st. Ts used the Periodic Average Cost Inventory Method

Using the following data, determine the Gross Profit for Ts during the month of May.

During the month of May,

Ts sold Long Sleeve Blue Shirts for $7.50

Ts sold Short Sleeve Blue Shirts for $6.50

May 1: Inventory Balance: Long Sleeve (LS)Blue Shirts: 180 @ $3

Inventory Balance: Short Sleeve (SS) Blue Shirts: 55 @ $2

May 5 Purchase: 40 LS Blue @ 3.50

May 5 Purchase: 25 SS Blue @ 2.25

May 9 Purchase: 100 LS Blue @ 3.70

May 13 Purchase: 300 SS Blue @ 2.40

May 15 Purchase: 200 SS Blue @ 2.42

May 20 Purchase: 50 SS Blue @ 2.45

May 24 Purchase: 144 SS Blue @ 2.50

May 27 Purchase: 300 SS Blue @ 2.52

May 30 Purchase: 250 LS Blue @ 4.00

May 30: Inventory Balance: Long Sleeve Blue Shirts: 195

Inventory Balance: Short Sleeve Blue Shirts: 124

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