Question

Debra King Company was formed on December 1, 2019. The following information is available from King’s...

Debra King Company was formed on December 1, 2019. The following information is available from King’s inventory records for Product BAP.

Units

Unit Cost

January 1, 2020 (beginning inventory) 1,740 $ 8
Purchases:
   January 5, 2020 3,480 9
   January 25, 2020 3,770 10
   February 16, 2020 2,320 11
   March 26, 2020 1,740 12


A physical inventory on March 31, 2020, shows 4,640 units on hand.

Calculate average-cost per unit. (Round answer to 2 decimal places, e.g. 2.76.)

Weighted average-cost per unit

$

Homework Answers

Answer #1

Weighted average-cost per unit= $9.91

Working

Units Cost per unit value
Beginning Balance 1740 $       8.00 $ 13,920
Purchases
3480 $       9.00 $ 31,320
3770 $    10.00 $ 37,700
2320 $    11.00 $ 25,520
1740 $    12.00 $ 20,880
Cost of goods available for sale 13050 $ 129,340

.

Average Cost of Inventory
Units (A) 13050
Total Cost (B) $ 129,340
Average Cost (C=B/A) $ 9.91
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Ivanhoe Company was formed on December 1, 2019. The following information is available from Ivanhoe's inventory...
Ivanhoe Company was formed on December 1, 2019. The following information is available from Ivanhoe's inventory record for Product X. Units Unit Cost January 1, 2020 (beginning inventory) 2,000 $16 Purchases: January 5, 2020 2,500 $18 January 25, 2020 2,200 $19 February 16, 2020 1,100 $20 March 15, 2020 2,200 $21 A physical inventory on March 31, 2020, shows 3,400 units on hand. (a) Prepare schedules to compute the ending inventory at March 31, 2020, under FIFO method. Ivanhoe Company...
Flint Company was formed on December 1, 2016. The following information is available from Flint’s inventory...
Flint Company was formed on December 1, 2016. The following information is available from Flint’s inventory records for Product BAP. Units Unit Cost January 1, 2017 (beginning inventory) 684 $ 6.00 Purchases:    January 5, 2017 1,368 7.00    January 25, 2017 1,482 8.00    February 16, 2017 912 9.00    March 26, 2017 684 10.00 A physical inventory on March 31, 2017, shows 1,824 units on hand. (a) Prepare schedule to compute the ending inventory at March 31, 2017, under FIFO inventory method....
Crane Company was formed in 2016 and maintains its books and records on calendar-year basis. The...
Crane Company was formed in 2016 and maintains its books and records on calendar-year basis. The following information is available from Crane’s inventory records for Zhao’s only product, the XL5500. Units Unit Cost January 1, 2017 (beginning inventory) 1,100 $77 Purchases    January 8, 2017 450 78    January 23, 2017 1,200 78.25    February 9, 2017 300 82    February 25, 2017 600 84 A physical inventory on February 28, 2017, shows 1,200 units on hand. Prepare schedule to compute the ending inventory...
Marigold Company's inventory records show the following data: Units Unit Cost Inventory, January 1 10000 $9.20...
Marigold Company's inventory records show the following data: Units Unit Cost Inventory, January 1 10000 $9.20 Purchases:     June 18 8000 8.00                      November 8 6000 6.00 A physical inventory on December 31 shows 4300 units on hand. Marigold sells the units for $11 each. The company has an effective tax rate of 20%. Marigold uses the periodic inventory method. The weighted-average cost per unit is
The following information was available from the inventory records of Susan Company for January: Units Unit...
The following information was available from the inventory records of Susan Company for January: Units Unit Cost Total Cost Balance at January 1 3,000 $9.77 $29,310 Purchases: January 6 2,000 10.30 20,600 January 26 2,700 10.71 28,917 Sales: January 7 (2,500) January 31 (4,200) Balance at January 31 1,000 Assuming that Susan uses the periodic inventory system, what should the inventory be at January 31, using the weighted-average inventory method, rounded to the nearest dollar?
Alpha Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a cost of $20 per unit
Alpha Corporation began operations on December 1, 2019. The only inventory transaction in 2019 was the purchase of inventory on December 10, 2019, at a cost of $20 per unit. None of this inventory was sold in 2019. Relevant information for fiscal 2020 is as follows:Ending inventory units:TotalDecember 31, 2019100December 31, 2020 by purchase dateDecember 2, 2020100July 20, 202030130During 2020, the following purchases and sales were made:PurchasesSalesMarch 15300 units @ $24 per unitApril 10200July 20300 units @ $25 per unitAugust...
[The following information applies to the questions displayed below.] A company reports the following beginning inventory...
[The following information applies to the questions displayed below.] A company reports the following beginning inventory and purchases for the month of January. On January 26, the company sells 350 units. 150 units remain in ending inventory at January 31. Units Unit Cost Beginning inventory on January 1 320 $ 3.00 Purchase on January 9 80 3.20 Purchase on January 25 100 3.34 Assume the periodic inventory system is used. Determine the costs assigned to ending inventory when costs are...
The records of ABC Company showed the following: Units Unit cost Total cost January 1 Beginning...
The records of ABC Company showed the following: Units Unit cost Total cost January 1 Beginning 10,000 60 600,000 April 1 Purchase 18,000 50   900,000 October 1 Purchase 22,000 40    880,000 The physical inventory reveals 15,000 units on hand on December 31. Compute the cost of ending inventory and cost of sales using: 1. First in, first out (FIFO) ] 2. Weighted average 3. Last in, first out (LIFO)
The following information was available from the inventory records of Coronado Industries for January: units unit...
The following information was available from the inventory records of Coronado Industries for January: units unit cost total cost Balance at January 1 9200 $9.78 $89976 Purchases January 6 6100 10.24 $62464 January 26 7900 10.69 $84451 sales : January 7 (7700 ) January 31 (11000) Balance at January 31 4500 Assuming that Coronado maintains perpetual inventory records, what should be the inventory at January 31, using the moving-average inventory method, rounded to the nearest dollar? (Round average cost per...
A company sells 1,200 units during the first quarter of the year at a selling price...
A company sells 1,200 units during the first quarter of the year at a selling price of $25 per unit.  In addition, the company has a beginning inventory of 600 units that were purchased at $10 per unit, and the following purchases and sales. Date Units sold Units purchased Cost per unit January 10         300    $11 January 25 450 February 7    400 $12 February 14 200 March 5 300 $14 March 27 550 If the company uses...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT