Weighted Average Cost Flow Method Under Perpetual Inventory System

The following units of a particular item were available for sale during the calendar year:

Jan. 1Inventory30,000units at $30.00Mar. 18Sale24,000unitsMay 2Purchase54,000units at $31.00Aug. 9Sale45,000unitsOct. 20Purchase21,000units at $32.10

The firm uses the weighted average cost method with a perpetual inventory system. Determine the cost of merchandise sold for each sale and the inventory balance after each sale. Present the data in the form illustrated inExhibit 5. Round unit cost to two decimal places, if necessary.

Schedule of Cost of Merchandise Sold

Weighted Average Cost Flow MethodPurchasesCost of Merchandise SoldInventoryDateQuantityUnit CostTotal CostQuantityUnit CostTotal CostQuantityUnit CostTotal CostJan. 1$$Mar. 18$$May 2$$Aug. 9Oct. 20Dec. 31Balances$$$