During 2012, a company sells 20 units of inventory. The company has the following inventory purchase transactions for 2012:
Calculate ending inventory and cost of goods sold for 2012 assuming the company uses weighted-average cost with a periodic inventory system.

Question

During 2012, a company sells 20 units of inventory. The company has the following inventory purchase transactions for 2012:  
Calculate ending inventory and cost of goods sold for 2012 assuming the company uses weighted-average cost with a periodic inventory system.

Quizplus · Accepted Answer

Weighted-average cost = $1,520 25 units = $60.8 unit.
Ending inventory = 5 $\times$ $60.8 = $304.
Cost of goods sold = 20 $\times$ $60.8 = $1,216.

During 2012, a Company Sells 20 Units of Inventory