A company purchased 500 units for $40 each on January 31. It purchased 200 units for $35 each on February 28. It sold a total of 200 units for $50 each from March 1 through December 31. If the company uses the weighted-average inventory costing method, calculate the cost of ending inventory on December 31. (Assume that the company uses a perpetual inventory system. Round any intermediate calculations two decimal places, and your final answer to the nearest dollar.)
A) $27,000
B) $19,285
C) $7,715
D) $18,750
B) $19,285
You might also like to view...
Which is a common method of providing executive compensation by allowing top management to purchase stock at a fixed share price?
a. Stock splits b. Arbitrage c. Dividends d. Stock options
Briefly discuss mechanical observation. What is it and why is it used? Describe two devices used for mechanical observation that do not require the respondent's direct participation
What will be an ideal response?
Answer the following statements true (T) or false (F)
1. Globalization occurs when there is increased economic integration among countries. 2. Financialization can be defined as the increased reliance upon financial markets, motives, results, and institutions, rather than on sales of goods and services, to generate profits. 3. Globalization and financialization are both increasing but relatively independent trends in the world economy. 4. Globalization opens up greater financial opportunities for companies while also adding foreign competition that could potentially reduce financial returns. 5. Financialization increases global integration of business which in turn creates pressure to generate the highest financial returns possible through further free trade agreements and globalization of markets.
The rule that requires financial statements to reflect the assumption that the business will continue operating instead of being closed or sold, unless evidence shows that it will not continue, is the:
A. Objectivity principle. B. Going-concern assumption. C. Measurement (Cost) Principle. D. Monetary unit assumption. E. Business entity assumption.