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Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases

Accounting

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Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Also, on December 15, Monson sells 26 units for $25 each.

 Purchases on December 716 units @ $10.00 cost Purchases on December 1433 units @ $15.00 cost Purchases on December 2126 units @ $18.00 cost

QS 5-13 Perpetual: Inventory costing with specific identification LO P1

Required:

Monson sells 26 units for $25 each on December 15. Of the units sold, 13 are from the December 7 purchase and 13 are from the December 14 purchase. Monson uses a perpetual inventory system. Determine the costs assigned to the December 31 ending inventory when costs are assigned based on specific identification.