Calculate the cost of goods sold and the closing inventories


Response to the following problem:

Spratley Ltd is a builders' merchant. On 1 September the business had, as part of its inventories, 20 tonnes of sand at a cost of £18 per tonne and at a total cost of £360. During the first week in September, the business bought the following amounts of sand

September       Tonnes         Cost per tonne (£)_

2                       48                    20
4                       15                    24
6                       10                    25

Calculate the cost of goods sold and the closing inventories from the above information using the following costing methods:

(a) first in, first out

(b) last in, first out

(c) weighted average cost.

 

Request for Solution File

Ask an Expert for Answer!!
Cost Accounting: Calculate the cost of goods sold and the closing inventories
Reference No:- TGS02124931

Expected delivery within 24 Hours