Question

Shown below is activity for one of the products of Denver Office Equipment: January 1 balance, 560 units @ $56 per unit $31, 360 Purchases: 560 units @ $61 per unit 10: January 1,120 units @ $65 per unit 20: Sales: January 940 units 12: 810 units 28: Required: Compute the January 31 ending inventory and cost of goods sold for January, assuming Denver uses average cost and a perpetual inventory system. (Do not round intermediate calculations. Round your final answers to nearest whole dollar amount.) Ending inventory Cost of goods sold

Answer 1

Answer: Ending Inventory Cost of goods sold 31409 106911 Perpetual: Weighted Average Inventory method Ending Inventory Unit Cost Total Cost Goods Purchsed Cost of Goods sold units Unit Cost Total Cost Unit Cost Total Cost units units Date Jan-01 Beginning inventory Jan-10 Purchases 560 56.00 31360 34160 560 61.00 560 56.00 31360 34160 560 61.00 1120 58.50 65520 Jan-12 Sales 54990 58.50 10530 940 58.50 180 Jan-20 Purchase 72800 180 1120 65.00 58.50 10530 1120 65.00 72800 64.10 1300 83330 Jan-28 Sales 64.10 810 51921 490 64.10 31409 31409 Jan-31 Balance 106911