Information: The following transactions of Heron Ltd took place during January 2022 in respect of component X used in production: Jan 01 08 12 15 18 25 27 Stock of component X on hand Issued to production Purchased from supplier Returned to supplier (purchased on 12 January 2022) Issued to production Purchased from supplier Issued to production 150 units @ R24 per unit 110 units 200 units @ R25 per unit 30 units 170 units 140 units @ R26 per unit 130 units Required: Calculate the value of closing inventory on 31 January 2022 using the: 2.1.1 First-in-first-out (FIFO) method 2.1.2 Weighted Average Cost Method

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Information:
The following
transactions of Heron Ltd took place
during January 2022 in respect of
component X used in production: Jan
01 08 12 15 18 25 27 Stock of
component X on hand Issued to
production Purchased from supplier
Returned to supplier (purchased on 12
January 2022) Issued to production
Purchased from supplier Issued to
production 150 units @ R24 per unit
110 units 200 units @ R25 per unit 30
units 170 units 140 units @ R26 per
unit 130 units Required: Calculate the
value of closing inventory on 31
January 2022 using the:
2.1.1 First-in-first-out (FIFO) method
2.1.2 Weighted Average Cost Method
Transcribed Image Text:Information: The following transactions of Heron Ltd took place during January 2022 in respect of component X used in production: Jan 01 08 12 15 18 25 27 Stock of component X on hand Issued to production Purchased from supplier Returned to supplier (purchased on 12 January 2022) Issued to production Purchased from supplier Issued to production 150 units @ R24 per unit 110 units 200 units @ R25 per unit 30 units 170 units 140 units @ R26 per unit 130 units Required: Calculate the value of closing inventory on 31 January 2022 using the: 2.1.1 First-in-first-out (FIFO) method 2.1.2 Weighted Average Cost Method
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