Answer:
Weighted average unit cost = $8.78
Explanation:
<em>The weighted average method of inventory determines the average cost per unit of inventory each time a new batch is received. or every new batch received the average cost per unit is re-computed by dividing the total value of stock by the outstanding number of units.</em>
The explanation is completed using calculation below:
Total value of stock = (250× $5) + (500×$9) + (375 × 11) = $9,875
Total units of stock = 250 + 500 + 375 = 1,125 units
Weighted average unit cost = Total value of stock / total units of stock
= $9875
/ 1125 units = $8.78
Weighted average unit cost = $8.78
Answer:
c) Unearned Revenue $ 500, Revenue $ 500
Explanation:
When the cash was received on August 01, no accounting services were provided so the entry would have been:
Cash Debit $ 1,200
Unearned revenue Credit $ 1,200
Unearned Revenue is a liability account
On December 31, a recognition needs to be made for the services revenue earned and hence the amount for 5 months amounting is debited to unearned revenue and revenue credited with $ 500.
Answer:
Credit to salaries payable of $364,500
Explanation:
There is important to undestand some vocabulary for business aproach.
A credit to salaries are the amount that the companies owed to their employees.
