One of the methods permitted by Generally Accepted Accounting Principles for reporting the value of a firms inventory is weighted average inventory pricing The Boswell Corporation began its fiscal year with an inventory of 156 units valued at $10 55 per unit During the year it made the purchases li...

One of the methods permitted by Generally Accepted Accounting Principles for reporting the value of a firms

Question:

One of the methods permitted by Generally Accepted Accounting Principles for reporting the value of a firm€™s inventory is weighted-average inventory pricing. The
Boswell began its fiscal year with an inventory of 156 units valued at $10.55 per unit. During the year it made the purchases listed in the following table.

At the end of the year, 239 units remained in inventory. Determine:
a. The weighted-average cost of the units purchased during the year.
b. The weighted-average cost of the beginning inventory and all units purchased during the year.
c. The value of the ending inventory based on the weighted-average cost calculated in b.

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...