Pharoah Company uses a perpetual inventory system and reports the following for the month of June. Date June 1 June 1 June 15 12 23 June 12 June 23 30 Show Transcribed Text June 27 $ $ $ Explanation Units Unit Cost Inventory $5 Purchase $ Purchase $ Inventory 5 Calculate the weighted-average cost per unit, using a perpetual inventory system. Assume a sale of 400 units occurred on June 15 for a selling price of $7 and a sale of 50 units on June 27 for $8. (Round intermediate calculations to O decimal places, e.g. 152 and final answers to 3 decimal places, e.g. 5.125.) 5.76 5.76 6.6 120 6.6. 380 210 260 3 6 7 c Total Cost $600 2,280 1,470

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in…