A company began January with 4,000 units of its principal product. The cost of each unit is $6. Inventory transactions for the month of January are as follows: Date of Purchase Units January 10 3,000 Purchases Unit Cost* $ 7 Total Cost January 18 4,000 8 $ 21,000 32,000 Totals 7,000 $ 53,000 *Includes purchase price and cost of freight. Sales Date of Sale Units January 5 2,000 January 12 1,000 January 20 3,000 Total 6,000 5,000 units were on hand at the end of the month. Problem 8-5 (Algo) Part 4 4. Calculate January's ending inventory and cost of goods sold for the month using Average cost, periodic system. Cost of Goods Available for Sale Cost of Goods Sold - Average Cost Average Cost Number Unit of units Cost Cost of Goods Available for Sale Number of units sold Average Cost per Unit Cost of Goods Sold Beginning Inventory 4,000 $6.00 $ 24,000 Purchases: January 10 3,000 $7.00 21,000 January 18 4,000 $ 8.00 32,000 Total 11,000 $ 77,000 Ending Inventory - Average Cost Number of units in ending inventory Average Cost per unit Ending Inventory 0 $ 0