Assume that britain company uses a periodic inventory


The following information is taken from the inventory records of the Britain Company:

Beginning Inventory, 4/1/2015 7,000 units @ $22.00

Purchases:

4/5 6,000 units @ $22.65

4/26 9,000 units @ $24.00

Sales:

4/11 5,000 units

4/28 8,000 units

9,000 units were on hand at the end of April.

(a) Assume that Britain Company uses a periodic inventory system and employs the average cost method, determine cost of goods sold for April and April's ending inventory.

(b) Assume that Britain Company uses a perpetual inventory system and employs the average cost method, determine cost of goods sold for April and April's ending inventory.

 

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Accounting Basics: Assume that britain company uses a periodic inventory
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