QUESTION 2 Answer the questions from the information provided. 2.1 Calculate the value of closing inventory...

 

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QUESTION 2 Answer the questions from the information provided. 2.1 Calculate the value of closing inventory as at 31 August 2021 and cost of sales for August 2021 using the following methods of inventory valuation First-in-first-out 2.1.1 2.1.2 Weighted average cost (Express the average cost per unit in rands and cents) 2.1.3 Last-in-first-out INFORMATION The following transactions took place during August 2021 in respect of a product sold by Mica Enterprises Transactions Aug 01 15 27 28 31 Opening inventory Purchased from a supplier Purchased from a supplier Returned to the supplier (purchased on 27 August) Sales for the month 2.2 2.2.1 2.2.2 The expected cost of sales (in Rands). INFORMATION Use the information provided below to calculate the following for 2022: The number of units that should be produced. Sales forecast Expected opening inventory Desired closing inventory 1900 400 300 units @R20 per unit 500 1500 units @R21 per unit The following reflect the forecast of Le Manufacturers for the year 2022 for the only product that it manufactures: Units Price per unit 400 units @R22 per unit 200 units 1500 units R60 R40 (5 marks) (5 marks) (4 marks) ? (3 marks) (3 marks) The FIFO method is used to value inventories. The production cost per unit for 2022 is expected to be R45. QUESTION 2 Answer the questions from the information provided. 2.1 Calculate the value of closing inventory as at 31 August 2021 and cost of sales for August 2021 using the following methods of inventory valuation First-in-first-out 2.1.1 2.1.2 Weighted average cost (Express the average cost per unit in rands and cents) 2.1.3 Last-in-first-out INFORMATION The following transactions took place during August 2021 in respect of a product sold by Mica Enterprises Transactions Aug 01 15 27 28 31 Opening inventory Purchased from a supplier Purchased from a supplier Returned to the supplier (purchased on 27 August) Sales for the month 2.2 2.2.1 2.2.2 The expected cost of sales (in Rands). INFORMATION Use the information provided below to calculate the following for 2022: The number of units that should be produced. Sales forecast Expected opening inventory Desired closing inventory 1900 400 300 units @R20 per unit 500 1500 units @R21 per unit The following reflect the forecast of Le Manufacturers for the year 2022 for the only product that it manufactures: Units Price per unit 400 units @R22 per unit 200 units 1500 units R60 R40 (5 marks) (5 marks) (4 marks) ? (3 marks) (3 marks) The FIFO method is used to value inventories. The production cost per unit for 2022 is expected to be R45.

Answer rating: 100% (QA)

21 211FIFO Closing inventory 20022 3002110700 Cost of Sales 30020 12002131200 212WAC Weight... View the full answer