Warnerwoods Company uses a periodic inventory for March.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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compute the number of units in ending inventory

### Warnerwoods Company's Periodic Inventory System for March

Warnerwoods Company employs a periodic inventory system. Below are the details of the purchases and sales transactions for March:

#### Date and Activities:

- **Mar. 1**: Beginning Inventory
- **Mar. 5**: Purchase
- **Mar. 9**: Sales
- **Mar. 18**: Purchase
- **Mar. 25**: Purchase
- **Mar. 29**: Sales

#### Units Acquired at Cost:

- **Mar. 1**: 120 units @ \$55 per unit
- **Mar. 5**: 420 units @ \$60 per unit
- **Mar. 18**: 160 units @ \$65 per unit
- **Mar. 25**: 240 units @ \$67 per unit

Total Units Acquired: **940 units**

#### Units Sold at Retail:

- **Mar. 9**: 440 units @ \$90 per unit
- **Mar. 29**: 200 units @ \$100 per unit

Total Units Sold: **640 units**

For specific identification, the March 9 sale consisted of 440 units from the beginning inventory and the March 5 purchase. The March 29 sale consisted of 60 units from the March 18 purchase and 140 units from the March 25 purchase.

This data provides a comprehensive insight into Warnerwoods Company’s inventory flow and can be useful for understanding the periodic inventory system in action.
Transcribed Image Text:### Warnerwoods Company's Periodic Inventory System for March Warnerwoods Company employs a periodic inventory system. Below are the details of the purchases and sales transactions for March: #### Date and Activities: - **Mar. 1**: Beginning Inventory - **Mar. 5**: Purchase - **Mar. 9**: Sales - **Mar. 18**: Purchase - **Mar. 25**: Purchase - **Mar. 29**: Sales #### Units Acquired at Cost: - **Mar. 1**: 120 units @ \$55 per unit - **Mar. 5**: 420 units @ \$60 per unit - **Mar. 18**: 160 units @ \$65 per unit - **Mar. 25**: 240 units @ \$67 per unit Total Units Acquired: **940 units** #### Units Sold at Retail: - **Mar. 9**: 440 units @ \$90 per unit - **Mar. 29**: 200 units @ \$100 per unit Total Units Sold: **640 units** For specific identification, the March 9 sale consisted of 440 units from the beginning inventory and the March 5 purchase. The March 29 sale consisted of 60 units from the March 18 purchase and 140 units from the March 25 purchase. This data provides a comprehensive insight into Warnerwoods Company’s inventory flow and can be useful for understanding the periodic inventory system in action.
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