required information the following information applies to the questions displayed below. briannas boutique…

required information the following information applies to the questions displayed below. briannas boutique has the following transactions related to its top - selling gucci purse for the month of october. date transactions units unit cost october 1 beginning inventory 6 $740 october 4 sale 4 october 10 purchase 5 750 october 13 sale 3 october 20 purchase 4 760 october 28 sale 7 october 30 purchase 7 770 4. using weighted - average cost, calculate ending inventory and cost of goods sold at october 31. note: round your intermediate calculations to 4 decimal places and final answers to 2 decimal places. ending inventory cost of goods sold

required information the following information applies to the questions displayed below. briannas boutique has the following transactions related to its top - selling gucci purse for the month of october. date transactions units unit cost october 1 beginning inventory 6 $740 october 4 sale 4 october 10 purchase 5 750 october 13 sale 3 october 20 purchase 4 760 october 28 sale 7 october 30 purchase 7 770 4. using weighted - average cost, calculate ending inventory and cost of goods sold at october 31. note: round your intermediate calculations to 4 decimal places and final answers to 2 decimal places. ending inventory cost of goods sold

Answer

Explanation:

Step1: Calculate total units available for sale

Total units available = Beginning inventory units+Purchase units Total units available = 6 + 5+4 + 7= 22 units

Step2: Calculate total cost of goods available for sale

Cost of beginning inventory = 6×740 = 4440 Cost of first - purchase = 5×750 = 3750 Cost of second - purchase = 4×760 = 3040 Cost of third - purchase = 7×770 = 5390 Total cost of goods available for sale=4440 + 3750+3040 + 5390=16620

Step3: Calculate weighted - average cost per unit

Weighted - average cost per unit=$\frac{Total\ cost\ of\ goods\ available\ for\ sale}{Total\ units\ available}$ Weighted - average cost per unit=$\frac{16620}{22}\approx755.4545$

Step4: Calculate total units sold

Total units sold = 4+3 + 7=14 units

Step5: Calculate cost of goods sold

Cost of goods sold = Total units sold×Weighted - average cost per unit Cost of goods sold = 14×755.4545 = 10576.3630≈10576.36

Step6: Calculate ending inventory

Ending inventory units = Total units available - Total units sold = 22 - 14 = 8 units Ending inventory = Ending inventory units×Weighted - average cost per unit Ending inventory = 8×755.4545 = 6043.6360≈6043.64

Answer:

Ending inventory: $6043.64 Cost of goods sold: $10576.36