Answer:
Cost of goods sold = $131,181.50
Closing inventory = $49,343.50 and 5,945 units
Explanation:
As for the information provided,
The inventory is as follows:
Oct 1 2,900 $6 $17,400
Oct 3 3,625 $7 $25,375
Oct 9 5,075 $8 $40,600
Oct 19 4,350 $9 $39,150
Oct 25 5,800 $10 $58,000
Total units in hand = 21,750
Total cost = $180,525
Since, its periodic inventory system,
Cost of goods sold = $180,525/21,750 = $8.30
Total cost of goods sold = $8.30 [tex]\times[/tex] 15,805 = $131,181.50
Total closing inventory = 21,750 - 15,805 = 5,945 units
Total value of closing inventory = $8.30 [tex]\times[/tex] 5,945 = $49,343.50
