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The Deluxe Company sells toothbrushes. The following information has been extracted from the records of Deluxe. Jan 1: Beginning inventory =10,000 units @ $2 each
The Deluxe Company sells toothbrushes. The following information has been extracted from the records of Deluxe. Jan 1: Beginning inventory =10,000 units @ $2 each Jan 10: Buy 10,000 units @ \$3 Jan 15: Sell 5,000 units @ \$5 Jan 30: Buy 4,000 units @ \$4 Multiple Choice ending inventory will be valued at $2.05 per unit in the January financial statements the financial statements for January will reflect the cost only the financial statements for January will reflect the market value only ending inventory will be valued at $4.00 per unit in the January financial statements Deluxe can ignore the market value because the weighted average method already incorporates market information
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