### Inventory Transactions for 2021During 2021, a company sells 500 units of inventory for $88 each. The company has the following inventory purchase transactions for 2021:| Date | Transaction | Number of Units | Unit Cost | Total Cost ||-----------|---------------------|-----------------|-----------|-------------|| Jan. 1 | Beginning inventory | 74 | $80 | $5,920 || May 5 | Purchase | 266 | $81 | $21,546 || Nov. 3 | Purchase | 182 | $83 | $15,106 || | | **522** | | **$42,572** |---### Calculation of Cost of Goods Sold and Ending InventoryCalculate the cost of goods sold and ending inventory for 2021 assuming the company uses the weighted-average cost method. - **Note:** Round the weighted-average unit cost to 4 decimal places. Round your final answers to the nearest dollar amount.| | ||-------------------------|-----------|| Cost of goods sold | || Ending inventory | |

The inventory valuation is based on the flow of inventory. The firm can adopt the LIFO method, FIFO…

Answered: During 2021, a company sells 500 units…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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UMET's Stores had the following inventory transactions in 2020: Transaction Units Cost per unit 1/1 Balance 50 $6 2/14 Sale 25 5/23 Purchase 100 8 8/21 Sale 50 11/5 Purchase 25 12 11/18 Sale 95 Required: Compute tge cost of goods sold and the ending inventory using the periodic inventory system for each of the following cost flow assumptions: a. FIFO b. LIFO c. Weighted average
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