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nata0808 [166]
3 years ago
14

Inventory records for Dunbar Incorporated revealed the following:

Business
1 answer:
marshall27 [118]3 years ago
7 0

Ending inventory assuming weighted-average cost would be $694

Solution:

Given,

Dunbar sold 560 units of inventory

Apr. 1 Beginning inventory 550 $2.33

Apr. 20 Purchase 310 2.68

Now,

Ending inventory  = 560 -550 = 10

                             = 310 -10 = 300

Ending inventory = 300 × $2.33 = $694

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What change in the book value of the company's equity took place at the end of previous year, and was negative.

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The amount of money left over after a company's assets have been liquidated and any outstanding debts have been settled using the profits from the sale is known as the book value of equity, or "Shareholders' Equity."

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