Question
A company's inventory records indicate the following data for the month of December: Date Activities Units Acquired at Cost Units Sold at Retail December 1
A company's inventory records indicate the following data for the month of December:
| Date | Activities | Units Acquired at Cost | Units Sold at Retail |
| December 1 | Beginning inventory | 700 units @ $36 = $25,200 |
|
| December 8 | Purchase | 580 units @ $40 = $23,200 |
|
| December 11 | Sale |
| 1,000 units @ $70 |
| December 13 | Purchase | 500 units @ $44 = $22,000 |
|
| December 22 | Sale |
| 400 units @ $71 |
| December 24 | Purchase | 480 units @ $50 = $24,000 |
|
The company uses a periodic inventory system. Determine the cost assigned to ending inventory using the specific identification method. Ending inventory consists of 250 units from the December 24 purchase, 200 units from the December 13 purchase, 210 units from the December 8 purchase, and 100 units from beginning inventory.
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Fundamental accounting principle
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
21st edition
1259119831, 9781259311703, 978-1259119835, 1259311708, 978-0078025587
