Question

PLEASE CHECK ANSWERS I AM NOT SURE THEY ARE CORRECT.

Exercise 6-7 Sandhill Co. reports the following for the month of June DateExplanationUnits Unit Cost Total Cost 121 345 202 250 $5 June 1 12 23 30 Inventory Purchases Purchases Inventory $ 605 2,070 1,414 7 Calculate weighted-average unit cost. (Round answer to 3 decimal places, e.g. 5.125.) Weighted-average unit cost 6.121 LINK TO TEXT VIDEO: APPLIED SKILLS VIDEO: SIMILAR EXERCISE Compute the cost of the ending inventory and the cost of goods sold under FIFO, LIFO, and average-cost. (Round answers to 0 decimal places, e.g. 125.) FIFO LIFO Average-cost 1702 1379 1530 The cost of the ending inventory The cost of goods sold Click if you would like to Show Work for this question: 2387 2710 ş Open Show Work

Answer 1

a) Calculate weighted average cost per unit

	Unit	Unit Cost	Total Cost
Beginning inventory	121	5	605
Purchase 1	345	6	2070
Purchase 2	202	7	1414
Total	668		4089

Weighted average unit cost = 4089/668 = 6.121 Per unit

Calculate cost of ending inventory and cost of goods sold

	FIFO	LIFO	Average cost
Cost of ending inventory	(202*7+48*6) = 1702	(121*5+129*6) = 1379	250*6.121 = 1530
Cost of goods sold	4089-1702 = 2387	4089-1379 = 2710	418*6.121 = 2559