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anastassius [24]
3 years ago
7

Fulbright Corp. uses the periodic inventory system. During its first year of operations, Fulbright made the following purchases

(listed in chronological order of acquisition):· 40 units at $100· 70 units at $80· 170 units at $60Sales for the year totaled 270 units, leaving 10 units on hand at the end of the year. Ending inventory using the average cost method (rounded) is:Select one:a. $650b. $707c. $1,000d. $600
Business
1 answer:
Firlakuza [10]3 years ago
7 0

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Purchases:

40 units at $100·

70 units at $80·

170 units at $60

Sales for the year totaled 270 units, leaving 10 units on hand at the end of the year.

First, we need to calculate the average purchase cost.

Average cost= (100*40 + 80*70 + 60*170)/280= $70.7

Now, we can calculate the value of ending inventory:

Inventory= $70.7*10= $707

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3 years ago
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7 0
3 years ago
The _________ pricing strategy maintains low prices and avoids the use of special sales.
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4 years ago
Ibarra Corporation uses the FIFO method in its process costing system. The first processing department, the Forming Department,
Morgarella [4.7K]

Answer:

Conversion Costs per unit  = $ $599,123/ 110080= $ 5.442

Explanation:

Conversion costs of $ $599,123

                                    Units            % of Completion                EUP

                                                            D.M       C.C                D.M       C.C

Units completed      106,000          100        100          106,000      106,000

<u>Ending Inventory       13,600          100          30            13,600        4080</u>

T<u>otal Equivalent  Units Of Production                          119600    110,080</u>

<u />

Conversion Costs per unit  = $ $599,123/ 110080= $ 5.442

Another way of finding out is through using the beginning inventory and the units started but as we do not have the % of completion for started units it cannot be computed.

                                   

7 0
3 years ago
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