Question: Problem Solving: 1. Trout company uses a perpetual system and made purchases and sales of a particular product as follows: Date Purchase Number of units
Problem Solving: 1. Trout company uses a perpetual system and made purchases and sales of a particular product as follows: Date Purchase Number of units Cost per unit Total Cost Jan 1 beginning 75 $11.00 $825 March 14 purchase 80 $13.00 $1040 July 30 purchase 500 $14.00 $7000 October 4 purchase 450 $15.00 56750 Units available 1105 Cost of Goods $15615 The company makes sales in the following dates using special identification method Date Number of unit 60 units from the beginning inventory Jan 10 March 15 15 from the beginning inventory 30 units from the March 14 purchase Oct 15 50 units from March 14 purchase 350 units from Oct 4 purchase I Total 17 marks) Assign the cost of the inventory using the following a. Special identification
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
