Principles of Financial Accounting.
24th Edition
ISBN: 9781260158601
Author: Wild
Publisher: MCG
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Chapter 6, Problem 10E
Lower of cost or market
Martinez Company’s ending inventory includes the following items. Compute the lower of cost or market for ending inventory applied separately to each product.
| Product | Units | Cost per Unit | Market per Unit |
| Helmets...... | 24 | $50 | $54 |
| Bats.......... | 17 | 78 | 72 |
| Shoes......... | 38 | 95 | 91 |
| Uniforms...... | 42 | 36 | 36 |
Check LCM = $7,394
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Students have asked these similar questions
Given the following:
Number purchased
Cost per unit
Total
January 1 inventory
42
$ 3
$ 126
April 1
62
6
372
June 1
52
7
364
November 1
57
8
456
213
$ 1,318
A. Calculate the cost of ending inventory using the weighted-average method (ending inventory shows 63 units).
Note: Round the "average unit cost" and final answer to the nearest cent.
Cost of ending inventory
$389.97
B. Calculate the cost of goods sold using the weighted-average method.
Note: Round your intermediate calculations and final answer to the nearest cent.
Cost of goods sold
$
Please help with B ONLY. I cannot figure out the weighted average method.
Thank you!
Given the following:
Numberpurchased
Costper unit
Total
January 1 inventory
30
$
5
$
150
April 1
50
8
400
June 1
40
9
360
November 1
45
10
450
165
$
1,360
a. Calculate the cost of ending inventory using the LIFO (ending inventory shows 51 units).
b. Calculate the cost of goods sold using the LIFO (ending inventory shows 51 units).
Given the following:
Numberpurchased
Costper unit
Total
January 1 inventory
40
$4
$160
April 1
60
7
420
June 1
50
8
400
November 1
55
9
495
205
A. Calculate the cost of ending inventory using the LIFO (ending inventory shows 61 units).
Cost of ending inventory is:
B. Calculate the cost of goods sold using the LIFO (ending inventory shows 61 units).
Cost of goods sold is:
Chapter 6 Solutions
Principles of Financial Accounting.
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