The Pink Lady Company incurred the following transactions during the month of June: 04 June Purchased 1 500 units at R90 each 10 June Issued 1 200 units 16 June Issued 800 units 20 June Purchased 2 000 units at a total value of R150 000 25 June Issued 1 000 units 28 June Issued 900 units 30 June Purchased 1 000 units at R110 each The opening stock for June was 1 000 units at a total value of R100 000. The company uses a weighted average method to valuate their inventory and applies a perpetual accounting system. Required:  Calculate the value of the closing stock at the end of June.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

The Pink Lady Company incurred the following transactions during the month of June:
04 June Purchased 1 500 units at R90 each
10 June Issued 1 200 units
16 June Issued 800 units
20 June Purchased 2 000 units at a total value of R150 000
25 June Issued 1 000 units
28 June Issued 900 units
30 June Purchased 1 000 units at R110 each

The opening stock for June was 1 000 units at a total value of R100 000. The company uses a weighted average method to valuate their inventory and applies a perpetual accounting system.

Required:

  •  Calculate the value of the closing stock at the end of June.

 

Expert Solution
steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Trading
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.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education