eyPLUS nt Open Assignment A company just starting business

eyPLUS nt > Open Assignment A company just starting business made the following four inventory purchases in June Number of units heTotal cost Date June 1 150 units $ 390 June 10 200 unts 200 units 150 units June 15 June 28 510 $21 on June 30 is $825. O $1359. O $755 x TO 7/150018 Type here to search

Solution

Answer:

Average Cost per Unit = Total cost of goods available for Sale / Units available for Sale
Total cost of goods available for Sale = $2,115
Units available for Sale = 150 + 200 + 200 + 150 = 700 Units

Average Cost per Unit = 2,115 / 700
Average Cost per Unit = $3.02

Ending Inventory = 250 Units
Cost allocated to Ending Inventory = 250 Units * $3.02
Cost allocated to Ending Inventory = $755