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Intercontinental, Incorporated, uses a perpetual inventory system. Consider the following information about its inventory: August 1, purchased 10 units for $910 or $91 per unit; August 3, purchased 15 units for $1,590 or $106 per unit; August 14, sold 20 units; August 17, purchased 20 units for $2,300 or $115 per unit; August 28, purchased 10 units for $1,190 or $119 per unit; August 30, sold 23 units. Using weighted average, the cost of goods sold for the sale of 23 units on August 30 is ____ and the inventory balance at August 30 is

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Using a weighted average, the cost of goods sold for the sale of 23 units on August 30 is $2,504.93 and the inventory balance at August 30 is $1,306.92 (12 units).

What is the weighted average inventory method?

The weighted average inventory method takes into consideration the weight (units and price) of each purchase to arrive at the total cost of goods available for sale.

The total cost of goods available for sale is then divided by the units available for sale to arrive at the weighted unit cost.

Data and Calculations:

August 1,  Purchase     10 units     $91     $910

August 3, Purchase     15 units   $106 $1,590

August 14, Sales         20 units

August 17, Purchase   20 units   $115 $2,300

August 28, Purchase   10 units  $119  $1,190

August 30, Sales        23 units.

Costs of goods available 55              $5,990

Units sold =                       43

Ending stock                     12 (55 - 43)

Weighted average cost per unit = $108.91 ($5,990/55)

Thus, using a weighted average, the cost of goods sold for the sale of 23 units on August 30 is $2,504.93 and the inventory balance at August 30 is $1,306.92 (12 units).

Learn more about the weighted average cost method at https://brainly.com/question/19338956

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