Monty Corp. uses a periodic inventory system reports the following for the month of June.Date Explanation Units Unit Cost Total CostJune 1 Inventory 120 $5 $60012 Purchases 380 6 2,28023 Purchases 210 7 1,47030 Inventory 265    A sale of 400 units occurred on June 15 for a selling price of $8 and a sale of 45 units on June 27 for $9.  Calculate the average cost per unit, using a perpetual inventory system. (Round answers to 3 decimal places, e.g. 5.125.)June 1 $enter a dollar amount June 12 $enter a dollar amount June 15 $enter a dollar amount June 23 $enter a dollar amount June 27 $enter a dollar amount

Question
Asked Sep 14, 2019
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Monty Corp. uses a periodic inventory system reports the following for the month of June.

Date
 
Explanation
 
Units
 
Unit Cost
 
Total Cost
June 1
 
Inventory
 
120
 
$5
  $600
12
 
Purchases
 
380
 
6
  2,280
23
 
Purchases
 
210
 
7
  1,470
30
 
Inventory
 
265
       


A sale of 400 units occurred on June 15 for a selling price of $8 and a sale of 45 units on June 27 for $9.
 
 
Calculate the average cost per unit, using a perpetual inventory system. (Round answers to 3 decimal places, e.g. 5.125.)

June 1
  $enter a dollar amount 
June 12
  $enter a dollar amount 
June 15
  $enter a dollar amount 
June 23
  $enter a dollar amount 
June 27
  $enter a dollar amount 
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Expert Answer

Step 1

Perpetual Inventory system is a form of inventory valuation where the computation on inventory quantity, price and availability is updated on a continuous basis.

Step 2

Working Note: ...

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CD E B F G H Inventory Valuation 1 2 Particulars Sale Purchase Balance Amount Qty Amount Qty p.u.Amount Qty p.u. 3 p.u 4 Opening 5 Purchases 380 6 120 14*J4 15 J5 C5*D5 120 5 380 6 6 - 16 J6 K7/17 5.76 16+15 - K6+ K5 18 J8 19*J9 7 8 Sale 9 Purchases 210 7 400 5.76 F8 G8 17-F8 18-F9 5.76 C9*D9 210 7 K11/111 6.6 =1 10*J10 =K10+ K9 =112*J12 1749 10 1 10+19 =F12*G12111-F12 265 11 12 Sale 45 6.6 13 Closing Bal 6.6 14 hs in

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