Question
The following transactions relates to the business of Kitengela Limited. May 2Balance b/f 1,000 units at Shs. 25 per unit May 5Issued 400 units May
The following transactions relates to the business of Kitengela Limited.
May 2Balance b/f 1,000 units at Shs. 25 per unit
May 5Issued 400 units
May 7Received 1,000 units at Shs. 27 per unit
May 11Issued 500 units
May 14Issued 800 units
May 19Received 1,700 units at Shs. 30 per unit
May 23Received 1,000 units at Shs. 32 per unit
May 25Issued 600 units
May 27Issued 700 units
May 29Issued 900 units
An order has been placed for 2,000 units at Shs. 35 per unit. Returns inwards amounted to Shs. 6,000 and returns outwards Shs. 4,000. Carriage inwards were Shs. 3,000. All sales were made at a standard price of Kshs. 40 per unit.
Required:
Record the above transactions in the stock ledger under:-
(i)Weighted Average method[10 Marks]
(ii)Trading account based WAV method[10 Marks]
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Kitengela Limited Inventory Management Weighted Average Method i Stock Ledger Weighted Average Metho...
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Accounting
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
22nd Edition
324401841, 978-0-324-6250, 0-324-62509-X, 978-0324401844
