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Perpetual Inventory Using Weighted Average Beginning inventory, purchases, and sales for WCS12 are as follows: Oct. 1 Inventory 320 units at $10 13 Sale 180 units 22 Purchase 360 units at $12 29 Sale 300 units a. Assuming a perpetual inventory system and using the weighted average method, determine the weighted average unit cost after the October 22 purchase. Round your answer to two decimal places. $ per unit b. Assuming a perpetual inventory system and using the weighted average method, determine the cost of goods sold on October 29. Round your "average unit cost" to two decimal places. $ c. Assuming a perpetual inventory system and using the weighted average method, determine the inventory on October 31. Round your "average unit cost" to two decimal places. $ PreviousNext

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a. To calculate the weighted average unit cost after the October 22 purchase, we need to calculate the cost of the goods available for sale and divide it by the total number of units available for sale.

First, let's calculate the cost of the goods available for sale:

Oct. 1 inventory: 320 units x $10 = $3,200

Oct. 22 purchase: 360 units x $12 = $4,320

Total cost of goods available for sale: $3,200 + $4,320 = $7,520

Next, let's calculate the total number of units available for sale:

Beginning inventory: 320 units

Oct. 22 purchase: 360 units

Total units available for sale: 320 units + 360 units = 680 units

Finally, we can calculate the weighted average unit cost:

Weighted average unit cost = Cost of goods available for sale / Total units available for sale

= $7,520 / 680 units

= $11.06 per unit (rounded to two decimal places)

Therefore, the weighted average unit cost after the October 22 purchase is $11.06 per unit.

b. To determine the cost of goods sold on October 29, we need to multiply the number of units sold by the weighted average unit cost.

From the information given, 180 units were sold on October 13 and 300 units were sold on October 29, for a total of 480 units sold.

Using the weighted average unit cost calculated in part (a), we have:

Cost of goods sold = 480 units x $11.06 per unit

= $5,308.80 (rounded to two decimal places)

Therefore, the cost of goods sold on October 29 is $5,308.80.

c. To determine the inventory on October 31, we need to subtract the number of units sold from the total units available for sale and then multiply that by the weighted average unit cost.

From the information given, 180 units were sold on October 13 and 300 units were sold on October 29, for a total of 480 units sold.

Total units available for sale: 680 units

Units sold: 480 units

Units in inventory on October 31: 680 units - 480 units = 200 units

Using the weighted average unit cost calculated in part (a), we have:

Inventory on October 31 = 200 units x $11.06 per unit

= $2,212 (rounded to two decimal places)

Therefore, the inventory on October 31 is $2,212.

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