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Inventory data for Kuchin Company are presented below: Date Explination Units Unit Cost Total Cost June 1 Inventory 120 $5 $600 June 12 Purchase 370
Inventory data for Kuchin Company are presented below: Date Explination Units Unit Cost Total Cost June 1 Inventory 120 $5 $600 June 12 Purchase 370 $6 $2,220 June 23 Purchase 500 $7 $3,500 June 30 Inventory 240 a) Calculate the cost of the ending inventory and the cost of goods sold for each cost flow assumption, using a perpetual inventory system. Assume a sale of 410 units occured on June 15 for a selling price of $8 and a sale of 340 units on June 27 for $9. (Note; For the moving-average method, round unit cost to three decimal places) c) Why is the average unit cost not $6 [($5 + $6 + $7) / 3 = $6]
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