Question

Transactions for the month of June were:

Purchases					Sales
June 1		(balance) 3270 @	$3.20		June 2		2340 @	$5.60
3		8750 @	3.10		6		6450 @	5.60
7		4900 @	3.30		9		4040 @	5.60
15		7180 @	3.40		10		1620 @	7.00
22		2030 @	3.50		18		5530 @	7.00
					25		750 @	7.00

Assuming that perpetual inventory records are kept in units only, the ending inventory on an average-cost basis, rounded to the nearest dollar, is (Round average cost per unit to 2 decimal places, e.g. 1.48.)

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a.

$17014.

b.

$17960.

c.

$17604.

d.

$17840.

Answer 1

rate positively ..

Purchases
1-Jun	3270	$3.20	$10,464.00
3	8750	3.1	$27,125.00
7	4900	3.3	$16,170.00
15	7180	3.4	$24,412.00
22	2030	3.5	$7,105.00
Total	26,130		$85,276.00
Average cost = 85276/26130			3.26
Unit sold =		20730
ending inventory =		5,400
Ending inventory value = 5400*3.26				17604
Ans = option C)				17604