C D K M Function: ROUND; Formula: Add, Multiply, Divide; Cell Referencing Using Excel to Cost Inventory Student Work Area PROBLEM In its first month of operations, McLanie Company made three purchases. Information concerning these purchases and units on hand are: Required: Provide input into cells shaded in yellow in this template. Use only mathematical formulas with cell references to compute the unit cost and the cost of ending inventory. Cost per Unit $ 6.00 Units Compute the cost of the ending inventory under the average-cost method in a periodic inventory system. L0 300 11 400 8.00 12 500 9.00 Weighted-average unit cost s +7.91667 Incorrect 13 Feedback: The cost of each purchase is determined by multiplying the cost per unit by the units acquired. These purchase cost amounts are added and divided by the total units of the three purchases. All amounts must be cell referenced to the Problem area and formulas must be used to add, multiple and divide the respective amounts. Units on hand at period end Round unit cost to 3 decimals using the 14 200 7.917 15 ROUND function 16 Purchases of merchandise were made in the sequence listed above. 17 Cost of ending inventory 1,583.40 18 19 20
C D K M Function: ROUND; Formula: Add, Multiply, Divide; Cell Referencing Using Excel to Cost Inventory Student Work Area PROBLEM In its first month of operations, McLanie Company made three purchases. Information concerning these purchases and units on hand are: Required: Provide input into cells shaded in yellow in this template. Use only mathematical formulas with cell references to compute the unit cost and the cost of ending inventory. Cost per Unit $ 6.00 Units Compute the cost of the ending inventory under the average-cost method in a periodic inventory system. L0 300 11 400 8.00 12 500 9.00 Weighted-average unit cost s +7.91667 Incorrect 13 Feedback: The cost of each purchase is determined by multiplying the cost per unit by the units acquired. These purchase cost amounts are added and divided by the total units of the three purchases. All amounts must be cell referenced to the Problem area and formulas must be used to add, multiple and divide the respective amounts. Units on hand at period end Round unit cost to 3 decimals using the 14 200 7.917 15 ROUND function 16 Purchases of merchandise were made in the sequence listed above. 17 Cost of ending inventory 1,583.40 18 19 20
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please see below. I really need help with this. I have tried the formula shown and the sumproduct formula and both times the top box comes back as incorrect. I know that the answer is correct, but I need to know exactly how to put the correct formula in there using cell referencing. PLEASE HELP!!!!!!!!!
Transcribed Image Text:M12
x v fx =(E10*C10+E11*C11+E12*C12)/(C10+C11+C12)
A
C
D E
F
H.
N
1Function: ROUND; Formula: Add, Multiply, Divide; Cell Referencing
2
3 Using Excel to Cost Inventory
Student Work Area
4
PROBLEM
5 In its first month of operations, McLanie Company made three purchases.
6 Information concerning these purchases and units on hand are:
Required: Provide input into cells shaded in yellow in this template.Use only
mathematical formulas with cell references to compute the unit cost and the
cost of ending inventory.
8
Units
Cost per Unit
$ 6.00
9.
Compute the cost of the ending inventory under the average-cost method in
a periodic inventory system.
10
300
11
400
8.00
12
500
9.00
Incorrect
Weighted-average unit cost
$ S7.91667
13
Feedback: The cost of each purchase is determined
by multiplying the cost per unit by the units
acquired. These purchase cost amounts are added
and divided by the total units of the three purchases.
All amounts must be cell referenced to the Problem
area and formulas must be used to add, multiple and
divide the respective amounts.
14
Units on hand at period end
200
Round unit cost to 3 decimals using the
7.917
15
ROUND function
16 Purchases of merchandise were made in the sequence listed above.
17
Cost of ending inventory
1,583.40
18
19
20
%24
Expert Solution
Explanation -
1. Average-cost cost flow assumption -
Under the Weighted Average Method, the cost is considered to be average at the time of sale. In this method of valuation of inventory all the purchased inventory should be accumulated and cost also should be summed up. The average cost should be calculated by the following formula -
Average Cost = Cost of Inventory / Units of inventory.
All the cost of sales unit should be calculated by the average cost per unit.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education