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Saddlery Company sells leather saddles and equipment for horse enthusiasts. Saddlery uses the perpetual inventory system. The following schedule relates to the company's inventory for
Saddlery Company sells leather saddles and equipment for horse enthusiasts. Saddlery uses the perpetual inventory system. The following schedule relates to the company's inventory for the month of May: Cost Sales May 1 $54,000 Beginning inventory Sale 5 $46,800 9 Purchase Purchase Sale 13 90 units 60 units 30 units 120 units 120 units 30 units 45 units $19.800 $86,400 24 $100,800 $28.800 27 30 Sale Purchase $35,640 (21) (a2) Calculate Saddlery Company's cost of goods sold, gross margin, and ending inventory using weighted average. (Round calculations for cost per unit to 2 decimal places, eg. 10.52 and final answers to 0 decimal places, eg. 61,052.) Cost of goods sold $ Gross margin $ Ending Inventory $ (b) Which cost formula produced the higher gross margin? (Round answers to 2 decimal places, e.g. 61.05%.) Gross Margin Ratio FIFO % Weighted average % produces the higher gross margin. e Textbook and Media Save for Later Attempts: 0 of 3 used Submit
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