2.1REQUIRED

Use the information provided below to calculate the value of closing inventory on 31 March 2015 and

the net value of the issues to production for March 2015 using the:

2.1.1Weighted average cost method (Round off the weighted average cost per unit to the nearest cent and all other amounts to the nearest Rand.)(6)

INFORMATION

The following transactions of Stannic Manufacturers took place during March 2015 in respect of a component used in production:

March

01 Inventory on hand 100 units @ R20 per unit

05 Issued to production 80 units

16 Purchased from supplier 500 units @ R22 per unit

19 Issued to production 200 units

20 Returned to supplier (see purchase on 16 March) 150 units

25 Purchased from supplier 140 units @ R24 per unit

30 Issued to production 220 units