Question
Weighted average cost flow method under perpetual inventory system The following units of a particular item were available for sale during the calendar year: Date
Weighted average cost flow method under perpetual inventory system
The following units of a particular item were available for sale during the calendar year:
| Date | Line Item Description | Units and Cost | |
|---|---|---|---|
| Jan. 1 | Inventory | 9,000 | units at $50.00 |
| Mar. 18 | Sale | 7,000 | units |
| May 2 | Purchase | 8,000 | units at $56.50 |
| Aug. 9 | Sale | 8,000 | units |
| Oct. 20 | Purchase | 4,000 | units at $60.00 |
The firm uses the weighted average cost method with a perpetual inventory system. Determine the cost of goods sold for each sale and the inventory balance after each sale. Round your "Unit Cost" answers to two decimal places.
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Research Methods In Accounting
Authors: Malcolm Smith
5th Edition
1526490676, 978-1526490674
