Question

So . Required information [The following information applies to the questions displayed below.) Greg's Bicycle Shop has the following transactions related to its top-selling Mongoose mountain bike for the March. Greg's Bicycle Shop uses a periodic Inventory system. Date T ransactions Units Unit Coat Total Cost March1 Beginning inventory 20 $230 $4,600 March 5 Sale $360 each) March 9 Parehase March 17 Sale ($410 each) March 22 Purchase March 27 Sale ($435 each) March 30 Purchase 250 (543s each) 260 2,600 For the specific identification method, the March 5 sale consists of bikes from beginning inventory, the March 17 sale consists of bikes from the March 9 purchase, and the March 27 sale consists of four bikes from beginning inventory and eight bikes from the March 22 purchase. from the March 22 purchase. - Home March 2000 cost of 4. Using weighted average cost, calculate ending inventory and cost of goods sold of March 31. (Round your intermediate and fina answers to 2 decimal places.) Martin St. Ground your intermediate an Ending inventory Cost of goods sold

Answer 1

Solution

Ending Inventory	$             3,233.75
Cost of Goods Sold	$             8,706.25

Working

Average Cost of Inventory
Units	(A)	48
Total Cost	(B)	$ 11,940
Average Cost	(C=B/A)	$ 248.75

.

Weighted Average method
Total Units Available for sale		48
Units Sold		35
Closing Stock in Units		13
Valuation
Ending Inventory	13	@	$        248.750	$              3,234
Value Of Ending Inventory				$              3,234
Cost of Goods sold	(Total Purchase and opening stock Minus Closing Stock)			$              8,706