Question

Swifty Corporation sells one product and uses a perpetual inventory system. The beginning inventory consisted of 76 units that cost $22 per unit. During the current month, the company purchased 478 units at $19 each. Sales during the month totaled 360 units for $42 each. What is the number of units in the ending inventory

Answer 1

Answer:

Ending inventory in units= 194

Explanation:

Giving the following information:

The beginning inventory consisted of 76 units.

During the current month, the company purchased 478 units.

Sales during the month totaled 360 units.

To calculate the number of units in ending inventory, we need to use the following formula:

Ending inventory in units= total inventory - sales in units

Ending inventory in units= 554 - 360

Ending inventory in units= 194