Question

23 During 2021, a company sells 470 units of inventory for $93 each. The company has the following inventory purchase transactions for 2021 Number of Units 80 267 Unit Cost $ Date Transaction Jan. 1 Beginning inventory May 5 Purchase Nov.) Purchase 8 points 30 82 Total Cost $ 6,320 21,360 15,334 $43,014 Calculate cost of goods sold and ending inventory for 2021 assuming the company uses the weighted average cost method. (Round weighted average unit cost to 4 decimal places. Round your final answers to the nearest dollar amount.) Cost of goods sold Ending Inventory

Answer 1

Correct Answer:

	Weighted Average
Cost of Goods Sold	$                37,859
Cost of Ending Inventory	$                  5,155

Working:

Weighted Average Cost Per unit
Units	(A)	534
Total Cost	(B)	$ 43,014
Average Cost	(C=B/A)	$ 80.5506

	Weighted Average
A	Total Units Available for sale		534			$              43,014
	Units Sold		470
	Ending Inventory Units		64
	Valuation
	Cost of Goods Sold	470		$ 80.5506		$              37,859
B	Total Cost of Goods Sold	470	units			$              37,859
A-B	Ending Inventory	64	units			$                5,155

End of Answer.

Please give a thumbs-up, it will be highly appreciated.

Thanks