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VICAccountingQuick questions

Unit 3: Financial accounting for a trading business

Quick questions on Perpetual inventory and FIFO inventory cards (VCE Accounting Unit 3)

2short Q&A pairs drawn directly from our worked dot-point answer. For full context and worked exam questions, read the parent dot-point page.

What are sales return of 5 units?
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A customer returns 5 units that had cost 22 each. They go back IN at 22: 5 at 22 = 110. Balance: 20 units at 22 = 440 dollars. Cost of sales is reduced by 110.
What is drawings of 2 units by the owner?
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The owner takes 2 units at 22 = 44 dollars (OUT to Drawings, not to cost of sales). Balance: 18 units at 22 = 396 dollars.

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