Using the perpetual inventory method, what is the weighted-average cost of ending inventory rounded to the nearest whole dollar? $$\begin{array} { | l | l | }
\hline \text { Sales revenue } & 100 \text { units at } \$ 10 \text { per unit } \
\hline \text { Beginning inventory } & 50 \text { units at } \$ 8 \text { per unit } \
\hline \text { Purchases } & 90 \text { units at } \$ 9 \text { per unit } \
\hline
\end{array}$$

Question

Using the perpetual inventory method, what is the weighted-average cost of ending inventory rounded to the nearest whole dollar? $$\begin{array} { | l | l | } 
\hline \text { Sales revenue } & 100 \text { units at } \$ 10 \text { per unit } \
\hline \text { Beginning inventory } & 50 \text { units at } \$ 8 \text { per unit } \
\hline \text { Purchases } & 90 \text { units at } \$ 9 \text { per unit } \
\hline
\end{array}$$

Quizplus · Accepted Answer

To calculate the weighted-average cost of ending inventory, first, determine the cost of goods available for sale. Beginning inventory is 50 units at $8 each, totaling $400. Purchases are 90 units at $9 each, totaling $810. The total cost of goods available for sale is $400 + $810 = $1210. The total units available for sale are 50 + 90 = 140 units. The weighted-average cost per unit is $1210 / 140 = $8.64. Sales were 100 units, so ending inventory is 40 units (140 units available - 100 units sold). The cost of ending inventory is 40 units * $8.64 per unit = $345.6, rounded to the nearest whole dollar is $346.

Using the Perpetual Inventory Method, What Is the Weighted-Average Cost