why 700? The ending inventory will consist of the remaining units from the February 16 purchase and all units from the March 15 purchase. Remaining units from February 16 purchase: 1,000 - 300 = 700 units at $22.00/unit. All units from March 15 purchase: 1,800 units at $23.00/unit. Ending Inventory = ( units x $22.00) + (1,800 units x $23.00) Ending Inventory = $15,400 + $41,400 Ending Inventory = $56,800