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Attached to this is my assignment titled accounting and my answers titled Weighted. Can i have some help in review to make sure i am

Attached to this is my assignment titled accounting and my answers titled Weighted. Can i have some help in review to make sure i am doin this correctly and maybe some advice on how to improve it?

image text in transcribed Weighted average method DATE 1/1 GOODS PURCHASED COST OF UNITS SOLD BEGINNING INVENTORY 1/10 1/14 50 @ $100 = $5,000 30 @ $100 = $3,000 150 @ $120 = $18,000 2/15 INVENTORY BA 20 @$100 = $2,000 20 @ $100 150 @ $120 = $20,000 ($117.647/UNIT) 100 @ $117.647 = $11,764 70 @ $117.647 4/30 200 @ $150 = $30,000 70 @ $117.647 200 @ $150 = $38,235.29 ($141.612/UN 9/26 300 @ $200 = $60,000 70 @ $117.647 200 @ $150 300 @ $200 = $98,235.29 ($172.343/UN 10/5 350 @ $172.343 = $60,319.915 220 @ $172.343 = $72,084.621 = $37,915.46 ($172.343/UN A. Identify and compute the costs to assign to the units sold. Cost of units sold: $72,084.621 B. Identify and compute the costs to assign to the units in ending inventory. Ending inventory: $37,915.46 ($172.343/UNIT) C. How likely is it that this inventory costing method will reflect the actual physical flow of goods? How relevant is that factor in determining whether this is an acceptable method to use? It is not likely that the average weighted inventory method will reflect the true flow of goods since it is an assumption of costs flows that average the costs available. This is relevant in determining whether it is an acceptable method to use because companies want to see their actual physical flow of goods so they can see how they are doing in the market and make adjustments as necessary. Because of this, the weighted average method is an unacceptable method for representing the physical flow of goods. D. What is the impact of this method versus others in determining net income and income taxes? The weighted average method averages both the cost of units sold and the ending inventory, because of this it is not an accurate way to determine net income as it is essentially an estimate. An example would be if the price per unit between units are too far apart like in the BTN 6-6, it may be difficult to track losses or gains in net income. If there were an advantage of using the weighted average method, it would be its simplicity. It can help track similar items through an average cost of unit instead of listing each items exact price. Though for this to work the price per unit cannot vary too widely. There are not tax advantages with using the weighted average method. The only method that does provide a tax advantage would be the last in, first out (LIFO) method as it provides a postponement due to inventory not being sold in a chronological order. E. How closely does the ending inventory amount reflect replacement cost? The weighted average method shows an estimate of the cost of the remaining inventory on hand. Since it is only providing an estimate it would not be an effective way to reflect the replacement cost closely

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