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  1. business
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  3. on january 1, ms. plummer commenced a small busine

On January 1, Ms. Plummer commenced a small business to trade clothing. She invested some...

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Accounting

On January 1, Ms. Plummer commenced a small business to trade clothing. She invested some
funds in the business and during a 5-month period, the following transactions took place.
Receipts Dispatch
Date Purchases
(units)
Total cost
($)
Date Sales (units) Total value
($)
January 01150
(Opening stock)
40,500 February 0324093,600
January 1220058,000 April 21390175,500
March 05455145,600 May 3112058,800
The boxes containing the clothes are stored in an office that Ms. Plummer rented and the closing
stock based on the stocktaking amounted to 50 units. Other expenses incurred, and paid for in
cash, during the period amounted to $13,200.
Required:
(a) Calculate the value of the material issues for the period and the value of the closing stock
at the end of May, using the following methods of pricing
(i) first-in, first-out,
(ii) last-in-first-out
(iii) weighted average (calculations to two decimal places only)
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