Required information Problem 8-5 (Algo) Various inventory costing methods [LO8-1,8-4) The following information applies to the questions displayed below) Ferris Company began January with 8,000 units of its principal product. The cost of each unit is $6, Merchandise transactions for the month of January are as follows: Purchases Date of Purchase Units Unit Cost Total Cost Jan. 20 6.000 $ 7 $ 42,000 Jan. 18 8,000 64.000 Totals 14,000 106,000 Includes purchase price and cost of freight. Sales Date of Sale Jan. 5 Jan. 12 Jan. 20 Total Units 4,000 2,000 4,000 10,000 12.000 units were on hand at the end of the month Jan, 5 Jan 12 Tan, 20 Total 4.000 2.000 5.000 10,000 12.000 units were on hand at the end of the month Problem 8-5 (Algo) Part 4 4. Calculate January's ending inventory and cost of goods sold for the month using Average cost, periodic system. Average Cost Cost of Goods Available for Sale Cost of Unit of units Goods Cost Available for Sale 8,000 $ 6.00 $ 48.000 Cost of Good Gold Average Cou of units Average Cost of Cost per sold Unt Ending very Average Cost #ofun Average Cooper Ending watory Inventory Goods Sold ending Beginning inventory Purchase January 10 January 18 Total 3,000 $ 700 8.000 $ 8.00 22.000 42.000 34000 154,000 $