Question Starshine Coffee Equipment sells European style coffee makers and uses a perpetual inventory system. Its inventory records show that on June 1, Starshine had 12 units on hand at a cost of $220 each. Transactions related to purchase and sale of coffee makers in June were as follows: Per unit Date Transaction Units Cost Sales price June 10 Sale 3 $510 June 15 Sale 4 $510 June 20 Purchase 5 $230 June 22 Purchase 6 $240 June 30 Sale 10 $500 Instructions For each of the following cost formulas, calculate the ending inventory as at June 30 and the cost of goods sold for the month of June. Prove the cost of goods sold calculations. (Use Average method) Purchases Cost of goods sold Balance Date Units Cost Total Units Cost Total Units Cost Total Jun 1 Jun 10 Jun 15 Jun 20 Jun 22 Jun 30
Question
Starshine Coffee Equipment sells European style coffee makers and uses a perpetual inventory system. Its inventory records show that on June 1, Starshine had 12 units on hand at a cost of $220 each. Transactions related to purchase and sale of coffee makers in June were as follows:
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Per unit |
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Date |
Transaction |
Units |
Cost |
Sales price |
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June 10 |
Sale |
3 |
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$510 |
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June 15 |
Sale |
4 |
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$510 |
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June 20 |
Purchase |
5 |
$230 |
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June 22 |
Purchase |
6 |
$240 |
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June 30 |
Sale |
10 |
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$500 |
Instructions
For each of the following cost formulas, calculate the ending inventory as at June 30 and the cost of goods sold for the month of June. Prove the cost of goods sold calculations.
(Use Average method)
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Purchases |
Cost of goods sold |
Balance |
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Date |
Units |
Cost |
Total |
Units |
Cost |
Total |
Units |
Cost |
Total |
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Jun 1 |
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Jun 10 |
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Jun 15 |
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Jun 20 |
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Jun 22 |
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Jun 30 |
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