Question

On December 31, there were 41 units remaining in ending inventory. These 41 units consisted of 5 from January, 7 from February, 9 from May, 7 from September, and 13 from November. Using the specific identification method, what is the cost of the ending inventory

Answer 1

$6,023

Step-by-step explanation:

Calculation for the Ending inventory

Using this formula

Ending inventory =January units ×costs +February units×costs +May units × cost+September units ×costs + November units × costs

Let plug in the formula

Ending inventory =5×123+7×133+9×143+7×153+13×163

Ending inventory =$615+$931+$1,287+$1,071+$2,119

Ending inventory =$6,023

Therefore the Ending inventory is $6,023