4. Compute the cost of ending inventory and cost of goods sold using the average cost inventory costing method. (Note: Use four decimal places for per- unit calculations and round all other numbers to the nearest dollar.) Crandall Distributors uses a perpetual inventory system and has the following data available for inventory, purchases, and sales for a recent year: Purchase Price Sale Price (per unit) (per unit) $7.10 7.20 Activity Beginning inventory Purchase 1, Jan. 18 Sale 1 Sale 2 Purchase 2, Mar. 10 Sale 3 Sale 4 Purchase 3, Sept. 30 Sale 5 Units 110 575 380 225 680 270 290 230 240 7.50 3 7.70 $12.00 12.00 12.00 12.50 12.50
4. Compute the cost of ending inventory and cost of goods sold using the average cost inventory costing method. (Note: Use four decimal places for per- unit calculations and round all other numbers to the nearest dollar.) Crandall Distributors uses a perpetual inventory system and has the following data available for inventory, purchases, and sales for a recent year: Purchase Price Sale Price (per unit) (per unit) $7.10 7.20 Activity Beginning inventory Purchase 1, Jan. 18 Sale 1 Sale 2 Purchase 2, Mar. 10 Sale 3 Sale 4 Purchase 3, Sept. 30 Sale 5 Units 110 575 380 225 680 270 290 230 240 7.50 3 7.70 $12.00 12.00 12.00 12.50 12.50
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:4. Compute the cost of ending inventory and cost of goods sold using the
average cost inventory costing method. (Note: Use four decimal places for per-
unit calculations and round all other numbers to the nearest dollar.)
Crandall Distributors uses a perpetual inventory system and has the following data available for inventory, purchases, and sales for a recent year:
Purchase Price
Sale Price
(per unit)
(per unit)
$7.10
7.20
Activity
Beginning inventory
Purchase 1, Jan. 18
Sale 1
Sale 2
Purchase 2, Mar. 10
Sale 3
Sale 4
Purchase 3, Sept. 30
Sale 5
Units
110
575
380
225
680
270
290
230
240
7.50
7.70
$12.00
12.00
12.00
12.50
12.50
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