Check your answer
Write your response and explain your reasoning.
Northstar begins with 30 units at $12. It buys 20 at $15, sells 25, buys 25 at $18, and sells 20. All units belong to one supported interchangeable pool.
Compute periodic weighted-average and perpetual moving-average cost of goods sold and ending inventory. Show each moving-rate recomputation, retain full precision, and reconcile units and cost. Explain why the two cost assignments differ and identify what the reconciliations do not prove.
Use ASC 330-10-30-9 for the US-GAAP cost-flow boundary and the official IAS 2 overview for its weighted-average description.
Compare your reasoning with the worked answer
Periodic weighted average uses 75 available units and $1,110 of cost. The rate is $14.80. Cost of goods sold is 45 units times $14.80, or $666. Ending inventory is 30 units times $14.80, or $444.
For the moving average, the first purchase creates 50 units costing $660, or $13.20 each. The 25-unit sale receives $330, leaving 25 units and $330. The next purchase creates 50 units costing $780, or $15.60 each. The 20-unit sale receives $312. Moving-average cost of goods sold is $642, and ending inventory is $468.
Both schedules end with 30 units and reconcile to $1,110. The periodic method applies the later $18 purchase across the full period. The moving method does not assign that later cost to the earlier sale. Neither reconciliation proves the pool, cost eligibility, event dates, or selected policy.