Koontz Company Uses the Perpetual Inventory Method

question 91

Multiple Choice

Koontz Company uses the perpetual inventory method. On January 1, Year 1, the company's first day of operations, Koontz purchased 400 units of inventory that cost $7.50 each. On January 10, Year 1, the company purchased an additional 600 units of inventory that cost $9.00 each. If Koontz uses a weighted average cost flow method and sells 550 units of inventory, the amount of inventory appearing on balance sheet following the sale will be approximately:

• A) $3,780.
• B) $4,738.
• C) $3,080.
• D) $3,713.

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Definitions:

Culture-Producing

The ability of a society or a group to create, develop, and sustain distinct customs, arts, social institutions, and achievements.

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Physical artifacts and evidence left by past societies, often studied in archaeology to understand historical life.

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