Question
Monty Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a
Monty Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a cost of $20 per unit. None of this inventory was sold in 2019. Relevant information for fiscal 2020 is as follows: Ending inventory units:
December 31, 2019 | 140 | ||||||
December 31, 2020, by purchase date | |||||||
Dec. 2, 2020 | 140 | ||||||
July 20, 2020 | 30 | 170 |
During 2020, the following purchases and sales were made:
Purchases | Sales | |||||||||
---|---|---|---|---|---|---|---|---|---|---|
Mar. | 15 | 410 units at $24 | Apr. | 10 | 240 | |||||
July | 20 | 410 units at $27 | Aug. | 20 | 280 | |||||
Sept. | 4 | 210 units at $29 | Nov. | 18 | 190 | |||||
Dec. | 2 | 140 units at $30 | Dec. | 12 | 430 |
The company uses the periodic inventory method.
Determine ending inventory under weighted average cost. (Round weighted average cost per unit to 2 decimal places, e.g. 52.75 and final answer to 0 decimal places, e.g. 5,275.)
Ending inventory |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started