Question

Marquis Company uses a weighted-average perpetual inventory system and has the following purchases and sales:August 2 10 units were purchased at $12 per unit.August 18 15 units were purchased at $14 per unit.August 29 12 units were sold.What is the amount of the cost of goods sold for this sale? (Roun

Answer 1

Answer:

COGS= $158.4

Explanation:

Giving the following information:

August 2: 10 units were purchased at $12 per unit

August 18: 15 units were purchased at $14 per unit

August 29: 12 units were sold.

First, we need to calculate the weighted-average purchasing price:

weighted-average purchasing price= [(10*12) + (15*14)]/25

weighted-average purchasing price= $13.2

COGS= 12*13.2= $158.4