! Required information [The following information applies to the questions displayed below.] Ferris Company began January with 6,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows: Date of Purchase Jan. 10 Jan. 18. Totals Sales Units 5,000 6,000 11,000 Date of Sale Jan. 5 Jan. 12 Jan. 20 Total Purchases * Includes purchase price and cost of freight. Units 3,000 2,000 4,000 9,000 Unit Cost* $9 10 8,000 units were on hand at the end of the month. Total Cost $ 45,000 60,000 $105,000 5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average cost per unit to 4 decimal places. Enter sales with a negative sign.)
! Required information [The following information applies to the questions displayed below.] Ferris Company began January with 6,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows: Date of Purchase Jan. 10 Jan. 18. Totals Sales Units 5,000 6,000 11,000 Date of Sale Jan. 5 Jan. 12 Jan. 20 Total Purchases * Includes purchase price and cost of freight. Units 3,000 2,000 4,000 9,000 Unit Cost* $9 10 8,000 units were on hand at the end of the month. Total Cost $ 45,000 60,000 $105,000 5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average cost per unit to 4 decimal places. Enter sales with a negative sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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I need help in finding the subtotal average cost.
![Required information
[The following information applies to the questions displayed below.]
Ferris Company began January with 6,000 units of its principal product. The cost of each unit is $8. Merchandise
transactions for the month of January are as follows:
*
Date of Purchase
Jan. 10
Jan. 18
Totals
Sales
Units
5,000
6,000
11,000
Date of Sale
Jan. 5
Jan. 12
Jan. 20
Total
Purchases
Includes purchase price and cost of freight.
Units
3,000
2,000
4,000
9,000
Unit Cost*
$9
10
8,000 units were on hand at the end of the month.
Total Cost
$ 45,000
60,000
$105,000
5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average
cost per unit to 4 decimal places. Enter sales with a negative sign.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F87f377c8-556b-40c3-ad73-583aac17d9d0%2F206ef817-0c4a-41dc-a0f1-e433181b7968%2Fvqhmdan_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Ferris Company began January with 6,000 units of its principal product. The cost of each unit is $8. Merchandise
transactions for the month of January are as follows:
*
Date of Purchase
Jan. 10
Jan. 18
Totals
Sales
Units
5,000
6,000
11,000
Date of Sale
Jan. 5
Jan. 12
Jan. 20
Total
Purchases
Includes purchase price and cost of freight.
Units
3,000
2,000
4,000
9,000
Unit Cost*
$9
10
8,000 units were on hand at the end of the month.
Total Cost
$ 45,000
60,000
$105,000
5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average
cost per unit to 4 decimal places. Enter sales with a negative sign.)
Transcribed Image Text:Perpetual Average
Beginning Inventory
Sale - January 5
Subtotal Average Cost
Purchase - January 10
Subtotal Average Cost
Sale - January 12
tal Average Cost
Purchase - January 18
Subtotal Average Cost
Sale - January 20
Total
Inventory on hand
Cost per
unit
# of units
6,000
(3,000)
3,000
5,000
8,000
8,000
8,000
8,000
Inventory
Value
8.0000 $
8.0000
8.0000
9.0000
$
48,000
(24,000)
24,000
45,000
69,000
0
69,000
0
69,000
0
69,000
# of units
sold
Cost of Goods Sold
Avg.Cost
per unit
3,000 $
3,000
Cost of
Goods Sold
8.0000 $
$
24,000
24,000
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