Perpetual Inventory

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porkchop44_85

Mar 23, 2008, 12:10 PM

I need to check to see if my answer to a problem is correct.
Determine the ending inventory cost?
jan.1 beg. inventory...50 units at @<hidden>$20
7 purchase...........200 units @<hidden>$22
feb.10 purchase...........130 units @<hidden> $23
mar.5 purchase...........180 units @<hidden> $24
23 purhcase...........100 units @<hidden> $26

my answer is $5410 ending inventory.. is this correct???

CaptainForest

Mar 23, 2008, 05:16 PM

Since they are all purchases...

jan.1 beg. inventory...50 units at @<hidden>$20 = 1,000
7 purchase...........200 units @<hidden>$22 = 4,400
feb.10 purchase...........130 units @<hidden> $23 = 2,990
mar.5 purchase...........180 units @<hidden> $24 = 4,320
23 purhcase...........100 units @<hidden> $26 = 2,600

Ending Inventory = 1,000 + 4,400 + 2,990 + 4,320 + 2,600 = 15,310