Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. a company had the following purchases during its f

A company had the following purchases during its first year of operations:    Purchases January: 24 units at $115 February: 34 units...

Free

50.1K

Verified Solution

Question

Accounting

A company had the following purchases during its first year ofoperations:
  

Purchases
January:24 units at $115
February:34 units at $126
May:29 units at $138
September:26 units at $146
November:24 units at $156


On December 31, there were 45 units remaining in ending inventory.These 45 units consisted of 6 from January, 7 from February, 11from May, 5 from September, and 16 from November. Using thespecific identification method, what is the cost of the endinginventory?

Multiple Choice

  • $5,434.

  • $5,440.

  • $6,160.

  • $6,316.

  • $6,472.

Answer & Explanation Solved by verified expert
4.3 Ratings (812 Votes)

Correct answer-----------$6,316

Working

Units available Sold Ending Units Cost per unit Ending Inventory
Purchase in January 24 18 6 $                   115.00 $                690.00
Purchase in February 34 27 7 $                   126.00 $                882.00
Purchase in May 29 18 11 $                   138.00 $            1,518.00
Purchase in September 26 21 5 $                   146.00 $                730.00
Purchase in November 24 8 16 $                   156.00 $            2,496.00
Total $            6,316.00

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

Cultivated amaranth grains (Amaranthus caudatus) come in three colors: black, brown, and pale. Geneticists asked whether...

Programming
1.2K views

Using OOP, write a C++ program that will read in a file of names. The file...

Geometry
1.2K views

5 If an equilateral triangle is continuously rotated around one of its medians which 3...

Basic Math
1.2K views

Select the different types of transformations you can have with a function:Select one or more:a....

Algebra
1.2K views

The following table lists all of your coworkers An X denotes the pairs of people...

Accounting
1.2K views

RCISES ations are BE10-1 Busch Company has these obligations...

Accounting
1.2K views

Martinez Company lost most of its inventory in a fire in December just before the...

Accounting
1.2K views

Smith Company sold merchandise inventory on account to Justin's Jewelers. Smith Company grants a $300...

Accounting
1.2K views

Show all work. You may create an excel spreadsheet but it is not necessary for...

Accounting
1.2K views

Consider FASB standards for reporting revenues from government grants received by a not-for-profit organization. Answer...

Accounting
1.2K views

A payment schedule requires 25 annual payments of $20,000, the first payment to be made...

Finance
1.2K views

Katya Berezovsky works in the currency-trading unit of Sumara Workers Bank in Togliatti, Russia. Her...