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Klump Co. Klump Co. uses a perpetual inventory system and had the following inve

ID: 2516141 • Letter: K

Question

Klump Co. Klump Co. uses a perpetual inventory system and had the following inventory transactions for the month of June. June 1 On hand, 50 units at $18.00 each $ 900.00 4 Purchased 115 units at $18.20 each 2,093.00 5 Sold 100 units 10 Purchased 75 units at $18.25 each 1,368.75 24 Sold 50 units Total cost of goods available for sale $4,361.75 30 On hand, 1000 units Refer to the information provided for Klump Co. If the company uses the FIFO inventory costing method, the amount of ending inventory reported on the balance sheet is: $1,800.00 $1,823.75 $1,810.00 $1,825.00

Explanation / Answer

date

explanation

no of units

per unit price

total value

1-Jun

opening balance

50

18

900

4-Jun

purchase

115

18.2

2093

balance

165

2993

5-Jun

sold

100

(50*18)+(50*18.2)

1810

balance

65

18.2

1183

10-Jun

purchase

75

18.25

1368.75

balance

140

2551.75

24-Jun

sold

50

18.2

910

30-Jun

balance

90

(15*18.2)+(75*18.25)

1641.75

cost of year end inventory

1641.75

No answer is matching in the given choices

date

explanation

no of units

per unit price

total value

1-Jun

opening balance

50

18

900

4-Jun

purchase

115

18.2

2093

balance

165

2993

5-Jun

sold

100

(50*18)+(50*18.2)

1810

balance

65

18.2

1183

10-Jun

purchase

75

18.25

1368.75

balance

140

2551.75

24-Jun

sold

50

18.2

910

30-Jun

balance

90

(15*18.2)+(75*18.25)

1641.75

cost of year end inventory

1641.75

No answer is matching in the given choices