Q2. ABC Ltd. is a metal product manufacturing company. The following are the purchases and issues during the month of July, 2019:

Required:

Using FIFO and Average Cost Method-

1. Find out the value of Ending Inventory after each transaction.
2. Find out the value of cost of goods sold after each sales.

Note: You can round off the values for the calculations under average cost method.

+ Date Beginning Inventory Purchase Purchase July 1 July 6 July 11 July 17 July 19 July 21 July 31 400 units @ $120 250 units @ $150 200 units @ $100 600 units @ $300 150 units @ $120 350 units @ $160 Sales Purchase Purchase Sales 500 units @ $350