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Weighted Average Cost Method with Perpetual Inventory The beginning inventory for Funky Party Supplies and data on purchases and sales for a three-month period are
Weighted Average Cost Method with Perpetual Inventory
The beginning inventory for Funky Party Supplies and data on purchases and sales for a three-month period are as follows:
Date | Transaction | Number of Units | Per Unit | Total | ||||
---|---|---|---|---|---|---|---|---|
Jan. 1 | Inventory | 2,500 | $60.00 | $150,000 | ||||
10 | Purchase | 7,500 | 68.00 | 510,000 | ||||
28 | Sale | 3,750 | 120.00 | 450,000 | ||||
30 | Sale | 1,250 | 120.00 | 150,000 | ||||
Feb. 5 | Sale | 500 | 120.00 | 60,000 | ||||
10 | Purchase | 18,000 | 70.00 | 1,260,000 | ||||
16 | Sale | 9,000 | 125.00 | 1,125,000 | ||||
28 | Sale | 8,500 | 125.00 | 1,062,500 | ||||
Mar. 5 | Purchase | 15,000 | 71.60 | 1,074,000 | ||||
14 | Sale | 10,000 | 125.00 | 1,250,000 | ||||
25 | Purchase | 2,500 | 72.00 | 180,000 | ||||
30 | Sale | 8,750 | 125.00 | 1,093,750 |
Required:
1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory record similar to the one illustrated in Exhibit 6, using the weighted average cost method. Round unit cost to two decimal places, if necessary.
Funky Party Supplies Schedule of Cost of Merchandise Sold Weighted Average Cost Method For the three months ended March 31, 2016 | |||||||||
---|---|---|---|---|---|---|---|---|---|
Purchases | Cost of Merchandise Sold | Inventory | |||||||
Date | Quantity | Unit Cost | Total Cost | Quantity | Unit Cost | Total Cost | Quantity | Unit Cost | Total Cost |
Jan. 1 | $ | $ | |||||||
Jan. 10 | $ | $ | |||||||
Jan. 28 | $ | $ | |||||||
Jan. 30 | |||||||||
Feb. 5 | |||||||||
Feb. 10 | |||||||||
Feb. 16 | |||||||||
Feb. 28 | |||||||||
Mar. 5 | |||||||||
Mar. 14 | |||||||||
Mar. 25 | |||||||||
Mar. 30 | |||||||||
Mar. 31 | Balances | $ |
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