A wholesaler had opening inventory of 300 units of product Emm valued at $25 per unit at the
beginning of January. The following receipts and sales were recorded during January.
Date 2 Jan 12 Jan 21 Jan 29 Jan
400
Issues 250 200 75
The purchase cost of receipts was $25.75 per unit. Using a weighted average method of valuation,
calculate the value of closing inventory at the end of January.
Sir, I am failing to use your formulae in this question. I cannot even find the closing inventory, I have watched your lectures, how do I apply to this question. explain how I have to find the closing inventory and the total costs.
Ask the Tutor ACCA MA
accounting for material
9y ago#1There were 300 in inventory at the start of the period.
There were 400 receipts, and a total of 525 issues (250 + 200 + 75)
Therefore the inventory at the end of the period is 300 + 400 - 525 = 175 units.
I cannot show the valuation because the dates in your question do not correspond with the other figures. Surely you have an answer in your book which has the workings?
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