Accounting: Tools for Business Decision Making, 5th Edition

Published by Wiley
ISBN 10: 1118128168
ISBN 13: 978-1-11812-816-9

Chapter 6 - Reporting and Analyzing Inventory - Self-Test Questions - Page 312: 6



Work Step by Step

Find the average cost per unit, and then multiply by the number of units remaining. average=$[(5000\times8)+(15000\times10)+(20000\times12)]\div(5000+15000+20000)=[40000+150000+240000]\div40000=430000\div40000=10.75$ value=$7000\times10.75=75250$
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