Question
I'm confused about specific identification. Can you please show your work or where the answers come from? I'd like to fully grasp the concept. Thanks!
I'm confused about specific identification. Can you please show your work or where the answers come from? I'd like to fully grasp the concept. Thanks! Please note-- some of the answers in the table are probably incorrect. Dr. Doolittle starts a merchandising business on December 1 and enters the following three inventory purchases. Dr. Doolitle uses a perpetual inventory system. On December 15, Dr. Doolittle sells 15 units at $20 each. Of the units sold, eight are from the December 7 purchase and seven are from the December 14 purchase. Determine the costs assigned to ending inventory when costs are assigned based on specific identification.
Specific Identification Goods Available for Sale Cost of Goods # of units unit Available for Sale Cost per Cost of Goods Sold # of Cost Cost of units sold per unit Goods Sold Ending Inventory # of units Cost per Ending in ending unit Inventory inventory 60 Purchases: December 7 December 14 December 21 Total 10 $ 6.00 $ 12.00 10 $ 6.00 $ 10 12.00 0 10 $ 6.00 $ 20 12.00 15 14.00 45 $ 60 240 210 510 60 120 210 390 0 15 14.00 10 $ 60 35 $Step by Step Solution
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