Elliot Co. opened its doors for business on January 1st of 2022. Below is a chart outlining the purchases and sales of inventory for Elliots first month of business:

Date Event Units Price

1/3 Purchase Inventory 20 $20/unit

1/6 Purchase Inventory 8 $25/unit

1/9 Sell Inventory 15 $50/unit

1/11 Purchase Inventory 7 $30/unit

1/14 Purchase Inventory 9 $40/unit

1/15 Sell Inventory 20 $55/unit

Elliot Co. uses the perpetual system to account for its inventory.

_______________________

Assuming Elliot Co. uses the Average-Cost cost-flow assumption, what will the company report as January 2022 Sales Revenue?

Question 17 options:

	$1,925
	$1,100
	$1750
	$1,850

Question 18 (3 points)

Elliot Co. opened its doors for business on January 1st of 2022. Below is a chart outlining the purchases and sales of inventory for Elliots first month of business:

Date Event Units Price

1/3 Purchase Inventory 20 $20/unit

1/6 Purchase Inventory 8 $25/unit

1/9 Sell Inventory 15 $50/unit

1/11 Purchase Inventory 7 $30/unit

1/14 Purchase Inventory 9 $40/unit

1/15 Sell Inventory 20 $55/unit

Elliot Co. uses the perpetual system to account for its inventory.

_______________________

Assuming Elliot Co. uses the Average-Cost cost-flow assumption, what will the company report as January 2022 Cost of Goods Sold (CGS)?

Question 18 options:

	$810
	$990
	$947
	$907

Question 19 (3 points)

Elliot Co. opened its doors for business on January 1st of 2022. Below is a chart outlining the purchases and sales of inventory for Elliots first month of business:

Date Event Units Price

1/3 Purchase Inventory 20 $20/unit

1/6 Purchase Inventory 8 $25/unit

1/9 Sell Inventory 15 $50/unit

1/11 Purchase Inventory 7 $30/unit

1/14 Purchase Inventory 9 $40/unit

1/15 Sell Inventory 20 $55/unit

Elliot Co. uses the perpetual system to account for its inventory.

_______________________

Assuming Elliot Co. uses the Average-Cost cost-flow assumption, what will the company report as January 2022 Gross Margin (also referred to as Profit Margin)?

Question 19 options:

	$943
	$1,287
	$1,040
	$860