Jensan Company
Jensan uses a perpetual inventory system and had the following inventory transactions for the month of June.
The June 30th inventory included 45 units from the June 4th purchase and 45 units from the June 10th purchase.
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Refer to the information provided for Jensan Co. Jensan's cost of ending inventory at June 30th under the specific identification method is:
A) $1,350.00.
B) $1,359.00.
C) $1,363.50.
D) $1,366.50.

Question

Jensan Company 
Jensan uses a perpetual inventory system and had the following inventory transactions for the month of June.
 The June 30th inventory included 45 units from the June 4th purchase and 45 units from the June 10th purchase.
-
Refer to the information provided for Jensan Co. Jensan's cost of ending inventory at June 30th under the specific identification method is:
A) $1,350.00. 
B) $1,359.00. 
C) $1,363.50. 
D) $1,366.50.

Quizplus · Accepted Answer

The specific identification method assigns the actual cost of each specific item to the ending inventory. The correct cost of ending inventory is calculated based on the specific costs of the items remaining in inventory at June 30th, which totals $1,363.50.

Jensan Company Jensan Uses a Perpetual Inventory System and Had the Following