Question

The following information relates to Kate Company Beginning inventory 180 units at $3 each Purchases 350...

The following information relates to Kate Company Beginning inventory 180 units at $3 each Purchases 350 units at $5 each At the end of the period , Kate had 230 units left in inventory. Kate sold the remaining units for $21 each. What is Kate's cost of goods available for sale?

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Answer #1

Solution:

Kate's cost of goods available for sale = Beginning inventory + Cost of goods purchased

= (180*$3) + (350*$5) = $2,290

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