Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Need help with the ones marked wrong. Ferris Company began January with 7,000 units of its principal product. The cost of each unit is $8.

image text in transcribedimage text in transcribedNeed help with the ones marked wrong.

Ferris Company began January with 7,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows: Purchases Unit Cost* Date of Purchase Jan. 10 Jan. 18 Totals Units 4,000 7,000 11,000 10 Total Cost $ 36,000 70,000 106,000 * Includes purchase price and cost of freight. Sales Date of Sale Jan. 5 Jan. 12 Jan. 20 Total Units 3,000 1,000 4,000 8,000 10,000 units were on hand at the end of the month. 5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average cost per unit to 4 decimal places. Enter sales with a negative sign.) X Answer is complete but not entirely correct. Perpetual Average Cost of Goods Sold Cost of Avg. Cost Goods per unit Sold # of units sold per Inventory on hand Cost # of Inventory units Value unit 7,000 8.0000 $ 56,000 (3,000) 8.0000 (24,000) 4,000 8.0000 32,000 3,000 $ 8.0000 $ 24,000 Beginning Inventory Sale - January 5 Subtotal Average Cost Purchase - January 10 Subtotal Average Cost Sale - January 12 Subtotal Average Cost Purchase - January 4,000 8,000 (1,000) 7,000 7,000 9.0000 9.0000 9.0000 % 9.0000 % 10.0000 36,000 68,000 (9,000) 59,000 70,000 1,000 $ 9.0000 $ 9,000 18 Subtotal Average Cost Sale - January 20 Total 14,000 (4,000) 10,000 9.0000 X 9.0000 129,000 (36,000) 93,000 $ 9.0000 4,000 8,000 36,000 $ 69,000 $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Outsourcing Dilemma Whats Best For Internal Auditing

Authors: Larry E. Rittenberg, Institute Of Internal Auditors Research Foundation, Lee A. Campbell

1st Edition

0894133845, 978-0894133848

More Books

Students also viewed these Accounting questions