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Samuelson and Messenger (SAM) began 2021 with 220 units of its one product. These units were purchased near the end of 2020 for $22 each.
Samuelson and Messenger (SAM) began 2021 with 220 units of its one product. These units were purchased near the end of 2020 for $22 each. During the month of January, 110 units were purchased on January 8 for $25 each and another 220 units were purchased on January 19 for $27 each. Sales of 130 units and 120 units were made on January 10 and January 25, respectively. There were 300 units on hand at the end of the month. SAM uses a perpetual inventory system. Required: 1. Complete the below table to calculate ending inventory and cost of goods sold for January using FIFO. 2. Complete the below table to calculate ending inventory and cost of goods sold for January using average cost. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the below table to calculate ending inventory and cost of goods sold for January using average cost (Round cost per unit to 2 decimal places. Enter inventory reductions from sales as negative numbers.) Inventory on hand Cost of Goods Sold Perpetual Average # of units Cost per unit Inventory Value # of units sold Avg. Cost per unit Cost of Goods Sold 220 S S 22.00 $ 4,840 110 25.00 2,750 7,590 330 Beginning Inventory Purchase - January 8 Subtotal Average Cost Sale - January 10 Subtotal Average Cost Purchase - January 19 Subtotal Average Cost Sale - January 25 0 7,590 330 0 330 7,590 0 7,590 Total 330 $ 0 0 $ 0
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