Ralwins, Inc. had the following balances and transactions during 2018, from January 1 to December...
Question:
Ralwins, Inc. had the following balances and transactions during 2018, from January 1 to December 31:
| Beginning merchandise inventory | 200 units at $81 |
| March 10 | Sold 100 units |
| June 10 | Purchased 400 units at $83 |
| October 30 | Sold 300 units |
What would be reported for ending merchandise inventory on the balance sheet at December 31, 2018, if the perpetual inventory system and the weighted average inventory costing method are used? (Round unit costs to two decimal places and total costs to the nearest dollar.)
A. {eq}\$16,200 {/eq}.
B. {eq}\$8,100 {/eq}.
C. {eq}\$24,300 {/eq}.
D. {eq}\$16,520 {/eq}.
Perpetual Inventory System:
The perpetual inventory system differs from the periodic system because the Cost of Goods Sold expense is recorded for each sales transaction, and calculated at the end of the period. This means that the weighted average cost per unit must be updated after each transaction.
Answer and Explanation: 1
Become a Study.com member to unlock this answer! Create your account
View this answer
The correct option is D.
We must prepare a perpetual inventory record to find the answer:
| Available for sale | Cost of goods sold | Inventory on... |
|---|
See full answer below.
Ask a question
Our experts can answer your tough homework and study questions.
Ask a question Ask a questionSearch Answers
Learn more about this topic:
Get access to this video and our entire Q&A library
Perpetual Inventory System: Definition, Advantages & Examples
from
Chapter 1 / Lesson 15
52K
Learn about the perpetual inventory system and how it is used. Explore the advantages of perpetual inventory systems and compare perpetual vs. periodic inventory.
Related to this Question
- Ralwins Company had the following balances and transactions during 2018, from January 1 to December 31: Beginning Merchandise Inventory 200 units at $83 March 10 Sold 100 units June 10 Purchased 60
- Ralwins Company had the following balances and transactions during 2018, from January 1 to December 31: Beginning Merchandise Inventory 100 units at $ 81 March 10 Sold 60 units June 10 Purchased 300 units at $ 84 October 30 Sold 160 units What would be r
- Evans Inc. had the following balances and transactions during 2014: Beginning Merchandise Inventory 10 units at $70 March 10 Sold 8 units June 10 Purchased 20 units at $80 October 30 Sold 15 units
- Metro Computer Inc. had the following balances and transactions during 2014: Beginning Merchandise Inventory as of January 1, 2014, 100 units at $75 March 10 Sold 50 units June 10 Purchased 200 units
- Evans Inc. had the following balances and transactions during 2014: Beginning Merchandise Inventory10 units at $70 March 10 Sold 8 units June 10 Purchased 20 units at $80 October 30 Sold 15 units W
- Samson Inc. had the following balances and transactions during 2014: Beginning Merchandise Inventory 10 units at $95 March 10 Sold 8 units June 10 Purchased 20 units at $100 October 30 Sold 15 units What is the amount of the company's Merchandise Inventor
- Evans, Inc. had the following balances and transactions during 2017: Beginning Merchandise Inventory 30 units at $74 March 10 Sold 27 units June 10 Purchased 90 units at $84 October 30 Sold 84 units
- Rally Wheels, Inc. had the following balances and transactions during 2018: Beginning Merchandise Inventory as of: January 1, 2018 240 units at $75 March 10 Sold 60 units June 10 Purchased 960 units at $80 October 30 Sold 175 units What would the company'
- The following transactions during the month of January: 1/5: bought 10 units at $11.00 each 1/8: bought 15 units at $11.25 each 1/15: sold 8 units for $16 each 1/22: bought 10 units at $11.50 each and sold 12 units for $16.50 each The ending inventory is
- Rodriguez, Inc. had the following balances and transactions during? 2017, from January 1 to December 31: Beginning Merchandise Inventory 400 units at $81 March 10 Sold 200 units June 10 Purchased 800 units at $83 October 30 Sold 600 units What would
- Everyday Wear Retail had the following balances and transactions during 2018: Beginning Inventory 15 units at $71 June 10 Purchased 30 units at $85 December 30 Sold 20 units December 31 Replacement co
- Metro Computer Company had the following balances and transactions during 2014: Beginning merchandise inventory - 100 units at $75; March 10 - Sold 50 units; June 10 - Purchased 200 units at $80; Octo
- Rick Company's beginning inventory and purchases during the fiscal year ended December 31, 2012, were as follows. January 1: Beginning inventory is 18 units at a unit price of $24 March 12: Sold 13 units April 11: Purchased 45 units at $29 June 20: Sold 3
- Ronald Company had the following balances and transactions during 2014. Beginning merchandise inventory 10 units at $95 March 10 Sold 8 units June 10 Purchased 20 units at $92 October 30 Sold 15 units What is the amount of the company's Merchandise Invent
- Aquafina Inc. uses a perpetual inventory system. The following transactions took place during the month of August: August 2 25 units were purchased at $12 per unit August 5 10 units were purchased at $13 per unit August 15 12 units were sold at $25 per u
- Trendsetters, Inc has actual sales for July and August and forecasted sales for September, October, November, and December as follows: Actual July 5,900 units August 6,200 units September 6,000 unit
- Jameson Company had the following balances and transactions during 2019: Beginning Merchandise Inventory as of January 1, 2019, 160 units at $72 March 10 Sold 80 units June 10 Purchased 100 units at
- The following units are available for sale during the year: January 1 Beginning inventory 10 units at $18 each April 3 Purchase 30 units at $20 each August 31 Purchase 28 units at $25 each September 29 Purchase 17 units at $30 each December 31 Ending inve
- The following transactions occurred during the month: Jan. 3 Sold 30 units on account at a selling price of $19 per unit. 6 Bought 35 units on account at a cost of $10 per unit. 16 Sold
- The James Company had the following transactions: June 1 Beginning Inventory 500 units at $15.00 per unit June 5th Purchase 300 Units at $20.00 per unit June 10th Purchase 250 units at $25.00 per unit Sold 400 units. Using the three different
- During June, the following changes in inventory item 27 took place: June 1 Balance 1,400 units $36 14 Purchased 800 units @ $54 24 Purchased 700 units $45 8 Sold 400 units @ $75 10 Sold 1,000 units @
- Trendsetters, Inc. has actual sales for July and August and forecasted sales for September, October, November, and December as follows: Actual July 5.900 units August 6,200 units September 6,000 un
- Malcom, Inc. had the following balances and transactions during 2017: Beginning Merchandise Inventory as of January 1, 2017: 100 units at $80 March 10: Sold 60 units June 10: Purchased 250 units at $ 85 October 30: Sold 160 units What would be report
- Budgeted sales (in units) for Falter Company are as follows: | September | 50,000 units | October | 60,000 units | November | 55,000 units | December | 80,000 units The company wishes to have 20% of the next month's sales on hand at the end of each mo
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 25 units at $45 Mar.4 Purchase 15 units at $50 June 7 Purchase 35 units at $58 Nov. 15 Purchase 20 units at $
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 20 units at $45 Mar. 4 Purchase 10 units at $50 June 7 Purchase 30 units at $58 Nov. 15 Purchase 15 units at $
- On October 1, Nathan4U, Inc. made a $25,000 sale on account with the following terms: 1/15, n/30. If the company uses the net method to record sales made on credit, how much should be recorded as revenue on October 1?
- The projected sales, in units, for Galileo Inc. by month for the first four months were: January 12,800 February 12,000 March 16,000 April 19,200 Inventory of finished goods on December 31 was 6,400 units. The company desires to have an ending inven
- The following are the transactions for the month of July. Unit Units Unit Cost Selling Price July 1 Beginning Inventory July 13 Purchase July 25 Sold 41 205 $10 12 (100) $16 146 July 31 Ending Invento
- A company just starting business made the following four inventory purchases in June: June 1: 150 units, $ 210 June 10: 200 units, 460 June 15: 200 units, 580 June 28: 150 units, 450 Total: $1,700 A p
- The following are the transactions for the month of July. Unit Units Cost Unit Selling Price July 1 Beginning Inventory 54 $10 July 13 Purchase 270 12 July 25 Sold (100) $16 July 31 Ending Inventory 224 Calculate cost of goods available for sale and end
- Bentels Co. desires a December 31 ending inventory of 2,840 units. Budgeted sales for December are 4,000 units. The November 30 inventory was 1,800 units. Budgeted purchases are: a) 5,040 units b) 1,240 units c) 6,840 units d) 4,000 units e) 5,800 un
- Coleman Inc. anticipates sales of 50,000 units, 48,000 units, and 51,000 units and 50,000 units in July, August, September, and October respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sa
- The following transactions affected Alpenrose Corporation's merchandise inventory during the month of March 2016: March 1 Inventory on hand-3,000 units; cost $8 each March 8 Purchased 5,000 units for $8.40 each on account March 14 Sold 4,000 units for $1
- The Hat Store had the following series of transactions for 2016 Date Transaction Description Jan. 1 Beginning inventory 75 units @ $21.50 Mar. 15 Purchased 195 units @ $25.50 May 30 Sold 190 units @
- At the end of January 2011, the records of Donner Company showed the following for a particular item that sold at $16 per unit: Transactions Units Amount Inventory, January 1, 2011 500 $2,500 Purchase, January 12 600 3,600 Purchase, January 26 160 1,280 S
- Champ, Inc, predicts the following sales in units for the coming three months: May ; June ; July ; Sales in units - 180 ; 200 ; 240 ; Each month's ending inventory of finished units should be 60% of t
- The following transactions occurred in a merchandising business that was incorporated in the month of October. The numbers beside the transactions represent the day of the month the transaction occurr
- Planktons has budgeted sales for the next four months as follows: Budgeted Sales in Units July 8,600 units August 7,300 units September 4,900 units October 6,400 units Past experience has shown that the ending inventory for each month should be equal to
- Larkspur, Inc. reports the following for the month of June. Date ; Explanation ; Units ; Unit Cost ; Total Cost ; June 1 - Inventory - 117, $5, $ 585 ; June12 - Purchases ; 378, 6; 2,268 ; June 23 - P
- Malcom, Inc. had the following balances and transactions during 2017: Beginning Merchandise Inventory as of January 1, 2017, 150 units at $81 March 10 Sold 60 units June 10 Purchased 270 units at $85 October 30 Sold 210 units What would be reported as Cos
- Projected units sales: July, 140,000; August 150,000; September 170,000; October 140,000. 2. Sales price per unit, $15.00 3. Units in ending inventory each month should equal 10% of next month sale
- A merchandising company has beginning inventory of 50 units with a total cost of $500. The following transactions take place during the month of January: 1/5: bought 10 units at $11.00 each. 1/8: bought 15 units at $11.25 each. 1/15: sold 8 units for $16
- Use this inventory information for the month of June to answer the following question. June 1 Beginning inventory 10 units @ $120 June 5 Purchase 60 units @ $112 June 14 Sale 40 units June 21 Purchase 30 units @ $116 June 30 Sale 28 units Assuming that a
- During June, the following changes in inventory item 27 took place: June1 - Balance: 1,400 units@ $24 14 - Purchased: 800 units @ $36 24 - Purchased: 700 units @ $30 8 - Sold: 400 units@ $50 10 -
- A merchandising company has a beginning inventory of 50 units with a total cost of $500. The company had the following transactions during the month of January. 1/5: bought 10 units at $11.00 each 1/8: bought 15 units at $11.25 each 1/15: sold 8 units for
- Bentels Co. desires a December 31 ending inventory of 2,840 units. Budgeted sales for December are 4,000 units. The November 30 inventory was 1,800 units. Budgeted purchases are ...............................................
- A company just starting business made the following four inventory purchases in June: |June 1 | 150 units | $ 390 |June 10 |200 units |585 |June 15 |200 units |630 |June 28 | 150 units |495
- Gamma Inc. has forecast sales as follows: July 13,200 units August 11,700 units September 9,700 units October 7,200 units Each unit sells for $11. Gamma s selling and administrative budgets are $2,500 fixed per month plus $1.60 per unit sold. What are th
- A June sales forecast projects that 6,000 units are going to be sold at a price of $10.50 per unit. The desired ending inventory of units is 15% higher than the beginning inventory of 1,000 units and each unit is purchased for $8. Total June sales are ant
- During June, the following changes in inventory item 27 took place: June 1 Balance 1,400 units @ $24 8 Sold 400 units @ $50 14 Purchased 800 units @ $36 10 Sold 1,000 units @ $40 24 Purchased 700 units @ $30 29 Sold 500 units @ $44 Perpetual inventories a
- Score. Inc., is preparing its master budget for the quarter ending March 31. It sells a single product for $60 per unit. Budgeted sales for the next four months following. January February March April Sales in units 1,200 2,500 1,200 1,400 Prepare a sales
- Use this inventory information for the month of June to answer the following question. June 1: Beginning inventory of 20 units at $152 June 7: Purchase of 70 units at $160 June 18: Sale of 25 units June 22: Purchase of 10 units at $176 June 29: Sale of 40
- A company just starting a business made the following inventory transactions in August: Purchase on August 1 300 units $1,560 Sale on August 8 200 units $3,400 Purchase on August 12 400 units $1,340 Sale on August 24 350 units $5,950 Using the LIFO inven
- A company reports the following beginning inventory and purchases for the month of January. On January 26, the company sells 290 units. 130 units remain in ending inventory on January 31. Units Unit
- Klump Co. uses a perpetual inventory system and had the following inventory transactions for the month of June. June1 On hand 50 units at $18 each $900 4 Purchased 115 units at $18.20 each $2,093 5 Sold 100 units 10 Purchased 75 units at $18.25 each $1,36
- Transactions Units Unit Cost Beginning inventory, January 1, 2012 2, 800 60 Transactions during 2012 a. Purchase, January 30 4,250 74 b. Sale, March 14 100 each2,450 c. Purchase, May 1 2,950 90 d.
- Jolly Company has the following budgeted sales in units for the next three months: Budgeted Sales in Units May 2,900 units June 6,300 units July 4,100 units Past experience has shown that the ending finished goods inventory for each month should be equal
- Samson Company had the following balances and transactions during 2008. January 1 Beginning inventory: 20 units at $70 each March 10 Purchased 10 units at $80 each June 10 Sold 23 units for $100 each 1) What would Samson Company's inventory amount be
- accounting Inventory information for Part 311 of Monique Aaron Corp. discloses the following information for the month of June. June 1 Balance 298 units @ $13 June 10 Sold 201 units @ $30 11 Purchased 801 units @ $15 15 Sold 503 units @ $31 20 Purchased 4
- Using the LIFO method: beginning inventory on August 1 has 2 items valued at $100 each. On August 8, three items were purchased for $250 per unit. On August 10, two units were sold. On August 20, two
- Delleate Inc. has prepared the following purchases budget: Month Budgeted Purchases June $67,000 July 74,500 August 78,700 September 79,500 October 72,400 All purchases are paid for as follows: 40%
- Williams Inc. had the following balances and transactions during 2014: Beginning Inventory 20 units at $70 June 10 Purchased 30 units at $80 December 30 Sold 15 units December 31 Replacement cost
- Tidbit Inc. has a sales budget for next month of $800,000. Cost of goods sold is expected to be 25 percent of sales. All goods are purchased in the month used and paid for in the month following purchase. The beginning inventory of merchandise is $16,000,
- A company had the following purchases during the current year: January 16 units at $120 February 26 units at $130 May 21 units at $140 September 18 units at $150 November 16 units at $160 On December 31, there were 41 units remaining in ending inventory.
- A company just starting business made the following four inventory purchases in June: June 1 10 units $ 30 each = $ 300 June 10 20 units $ 40 each = 800 June 15 20 units $ 50 each = 1,000 June 28 15 u
- Wasson Company purchased items of inventory as follows: Dec. 2: 50 units @ $20 Dec. 12: 12 units @ $21 Wasson sold 15 units on December 20. Determine the cost of goods sold for the month under the LIFO inventory method.
- Klump Co. uses a perpetual inventory system and had the following inventory transactions for the month of June. Jun. 1 On hand, 50 units at $18 each, $900 Jun. 4 Purchases 115 units at $18.20 each, $2,093 Jun. 5 Sold 100 units Jun. 10 Purchased 75 units a
- Bentels Co. desires a December 31 ending inventory of 3,200 units. Budgeted sales for December are 5,500 units. The November 30 inventory was 2,475 units. Budgeted purchases are _____.
- Inventory information: Sunland Corp. discloses the following information for the month of June. June 1 Balance 298 units @ $11 June 10 Sold 200 units @ $26 June 11 Purchased 802 units @ $13 June
- BHM Inc. has the following inventory items and costs for the month. a. 1 unit purchased Jan 15 at a cost of $48. b. 1 unit purchased Jan 20 at a cost of $51. c. 1 unit purchased Jan 24 at a cost of $59 On January 26, the company sold 2 units for $70 e
- Inventory information for Part 311 of Skysong Corp. discloses the following information for the month of June. June 1 Balance 304 units @ $13 June 10 Sold 205 units @ $30 11 Purchased 804 units @ $15
- During June, the following changes in inventory item 29 took place. June 1: Balance of 1,400 units at $24 June 14: Purchased 900 units at $36 June 24: Purchased 700 units at $30 June 8: Sold 400 units at $50 June 10: Sold 1,000 units at $40 June 29: Sold
- During January 2015 the following events occurred for the Widgets inventory item: Date Event Quantity & Unit Value 1/1/15 Balance 1,400 units @ $24 1/8/15 Sold 400 units @ $50 1/9/15 Purchase 100 units @ $37 1/10/15 Sold 1,000 units @ $40 1/14/15 Purchase
- Ontario Skateboard Company has the following inventory and purchases during the fiscal year ended December 31, 2020. Beginning Inventory 271 units @ $81/unit March 10 purchased 204 units @ $85/unit March 20 sold 379 units @ $174/unit May 13 purchased 288
- Transactions Units Unit Cost Beginning inventory, Jan 1 1,800 $50 Transactions during the year: a. Purchase, Jan 30 2,500 62 b. Sale, Mar 14 ($100 each) (1,450) c. Purchase, May 1 1,200 80 d. Sale, Au
- Filimonov Inc. has the following information related to purchases and sales of one of its inventory items: Date Description Units Purchased at Cost Units Sold at Retail June 1 Beginning Inventory 150 units @ $9 = $1,350 9 Purchase 1 200 units @ $12 = $2,4
- The company has 5,600 units of product on hand at July 1. 10% of the next month's sales in units should be on hand at the end of each month. October sales are expected to be 79,500 units. Budgeted sales for September would be (in units): [{Blank}]
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 50 units @ $92 Mar. 10 Purchase 60 units @ $104 Aug. 30 Purchase 20 units @ $112 Dec. 12 Purchase 70 units @ $
- The units of an item available for sale during the year were as follows: Jan. 1, inventory 19 units @ $28 Feb. 17, purchase 15 units @ $30 Jul. 21, purchase 6 units @$33 Nov. 23, purchase 15 units
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 19 units @ $30 Feb. 17 Purchase 11 units @ $32 Jul. 21 Purchase 11 units @$35 Nov. 23 Purchase 12 units @
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 200 units at $60 Feb. 17 Purchase 275 units at $64 July 21 Purchase 300 units at $68 Nov. 23 Purchase 225
- During October, Tedesco Company sold 240 unit of product R. It's beginning inventory and purchases during the month were as follows: Oct 1 Beginning inventory 100 units @ $20 Oct 5 Purchases 100 units @ $24 Oct 10 Purchases 100 units @ $22 Oct 15 Purchase
- A June sales forecast projects that 10,000 units are going to be sold at a price of $10.00 per unit. The desired ending inventory of units is 12% higher than the beginning inventory of 1,100 units. Merchandise purchases for June are projected to include h
- Ross Sales had the following transactions for DVDs in 2010, its first year of operations. Jan. 20 Purchased 75 units @ $15 = $1,125 Apr. 21 Purchased 450 units @ $20 = 9,000 July 25 Purchased 300 units @ $23 = 6,900 Sept. 19 Purchased 100 units @ $26 = 2,
- The units of an item available for sale during the year were as follows Jan. 1 Inventory 40 units at $96 Mar, 10 Purchase 40 units at $104 Aug. 30 Purchase 20 units at $108 Dec. 12 Purchase 100 uni
- Inventory information for Part 311 of Sage Corp. discloses the following information for the month of June. June 1 Balance 299 units @ $13 June 10 Sold 198 units @ $32 11 Purchased 804 units @ $16 15
- The units of an item available for sale during the year were as follows: Jan. 1 - Inventory 30 units at $125 Feb.17 - Purchase 75 units at $133 July 21 - Purchase 42 units at $148 Nov. 23 - Purcha
- Budgeted sales for the fist six months for Wardrobe Corp. are listed below: January - 6,000 units February - 7,000 units March - 8,000 units April - 7,000 units May - 5,000 units June - 4,000 units Wardrope Corp. has a policy of maintaining an inventory
- Smith, Inc. anticipates sales of 50,000 units, 48,000 units, and 51,000 units in July, August, and September, respectively. Company policy is to maintain an ending finished-goods inventory to 40% of the following months' sales. On the basis of this inform
- The following are the transactions for the month of July. Units Unit cost Unit Selling Price July 1 Beginning Inventory 50 $10 July 13 Purchase 250 $13 July 25 Sold (100) $15 July 31 Ending Inventory 200 Calculate cost of goods available for sale and end
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 20 units at $50 Feb. 4 Purchase 10 units at $52 July 7 Purchase 30 units at $55 Oct. 15 Purchase 15 units at $60 There are 30 units of the item in the physical inven
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 30 units at $130 Feb 17 Purchase 55 units at $140 July 21 Purchase 64 units at $157 Nov 23 Purchase 37 units at $166 There are 50 units of the item in the physical i
- The company would like to keep 24% of the following month's expected sales on hand as inventory at the end of each month. Each unit costs $182 to purchase. Sales in Units: December January February March April 268,519 206,592 196,229 199,421 224,822 What
- The following are the transactions for the month of July. Units Unit Cost Unit Selling Price July 1 Beginning Inventory 53 $10 July 13 Purchase 265 13 July 25 Sold (100) $15 July 31 Ending Invento
- Hardy, Inc., has budgeted sales in units for the next five months as follows: June....8200 units July......6300 units August....4700 units September...3600 units October....2600 units Past experience has shown that the ending inventory for each mont
- A company just starting business made the following inventory transactions in August: Purchase on August 1 300 units $1,560 Sale on August 8 200 units $3,400 Purchase on August 1 2,400 units $1,340 Sale on August 24 350 units $5,950 Using the LIFO invento
- Sales for the following months are: June 35,000 July 39,000 August 41,000 September 37,000 The projected sales units for the third quarter are: October 34,000 November 33,000 December 36,000 Management likes to maintain a finished goods inventory
- The units of an item available for sale during the year were as follows: Jan. 1 Inventory 1,000 units at $120 Feb. 17 Purchase 1,375 units at $128 July 21 Purchase 1,500 units at $136 Nov. 23 Purchas
- Jannusch Corporation makes one product. Budgeted unit sales for July, August, September, and October are 10,000, 11,600, 13,300, and 12,700 units, respectively. The ending finished goods inventory should equal 20% of the following month's sales. The budge
Explore our homework questions and answers library
Browse
by subject