Question

Assume Hadley Co has the following purchases of inventory during the first month of operations First Purchase Second Purchase Number of Units 330 150 Cost per unit 3.6 4.2 Assuming Hadley sells 280 units at $12 each, what is the value of her ending inventory if she uses weighted average?

Answer 1

Periodic : Weighted Average Goods Purchasd Cost of Goods Sold | Inventory Balance cost of Goods Cost Per Available for # of Units Cost Per Cost of Cost Per Ending # of Units Unit sales sold Unit Goods Sold # of Units Unit Inventory First Purchases 330 3.60 1188 Second Purchases 150| 4.20 630 Totals 480 3.7875 1818 280 3.79 1060.50 2001 3.79 757.50 Value of Ending Inventory 757.50 Periodic : FIFO Goods Purchasd Cost of Goods Sold Inventory Balance cost of Goods Cost Per Available for # of Units Cost Per Cost of Cost Per Ending # of Units Unit sales sold Unit Goods Sold # of Units Unit Inventory First Purchases 171 3.50 598.5 171 3.50 598.5 0 3.50 Second Purchases 425 4.30 1827.5| 118 4.30 507.4 307 4.30 1320.1 Totals 596 2426 2891 1106 307 0.00 1320 Value of Ending Inventory 1320.10 Periodic : FIFO Goods Purchasd Cost of Goods Sold | Inventory Balance cost of Goods Cost Per Available for # of Units Cost Per Cost of Cost Per Ending # of Units Unit sales sold Unit Goods Sold # of Units Unit Inventory First Purchases 13 3.20 41.6 131 3.201 41.6 0 3.20 Second Purchases 42 3.10 130.2 3.101 74.4 18 3.10 55.8) Totals 55 171.8 116 180.00 56 Cost Of Goods Sold 116.00 2501 24

Periodic :LIFO Goods Purchasd Cost of Goods Sold Inventory Balance cost of Goods Cost Per Available for # of Units Cost Per Cost of Cost Per Ending # of Units Unit sales sold Unit Goods Sold # of Units Unit Inventory 280 3.90 1092 85 3.90 331.5 195 3.901 760.5 221 | 3.50 773.5 221 3.50 773.5 0 3.50 501 1865.5 306 1105 1950.00 761 First Purchases Second Purchases Totals Value of Ending Inventory 760.50 Periodic:LIFO Goods Purchasd Cost of Goods Sold Inventory Balance cost of Goods Cost Per Available for # of Units Cost Per Cost of Cost Per Ending # of Units Unit s ales sold Unit Goods Sold # of Units Unit Inventory 280 3.90 1092 85 3.90 331.5 195 3.90 760.5 221 3.50 773.5 2211 3.50 773.5 0 3.50 501 1865.5 306 1105 1950.00 761 First Purchases Second Purchases Totals Cost Of Goods Sold 1105.00