Eneri Company's inventory records show the following data: Units Unit Cost Inventory, January 1 10000 $9.20 Purchases: June 18 9000 8.00 November 8 6000 7.00 A physical inventory on December 31 shows 4000 units on hand. Eneri sells the units for $13 each. The company has an effective tax rate of 20%. Eneri uses the periodic inventory method. What is the cost of goods available for sale?

$206,000

Explanation:

Beginning inventory                         10,000*9.2       $92,000

Purchases during the month       (9000*8+ 6000*7) $114,000

Cost of Goods available for sale                                   $206,000

$206,000

Explanation:

                                           Units                Unit Cost           Total                            Inventory January 1           10,000                 $9.20          $92,000

Purchases: June 18            9,000                  $8.00         $72,000

Purchase: November 8      6,000                  $7.00         $42,000

total                                    25,000                 $8.24        $206,000

When using a periodic inventory system, the cost of goods available for sale is the sum of the beginning inventory plus all the purchases.

A physical inventory on December 31 shows 4000 units on hand.

ending inventory valuation using:

cost of goods sold using:

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