XYZ Company had 2 units in inventory, at $4 unit-cost. They purchased 9 units, $9 per unit in January and purchased another 2 units, $10 per unit, in July. XYZ ended up with 5 units in its ending inventory (1 unit with a unit cost of $9 and 4 with a unit cost of $10). If XYZ used the average cost method.

What is the cost of the ending inventory?

Answer rating: 100% (QA)

Using the average cost method we first need to calculate the weighted average cost per unit Weig... View the full answer