“Calculate the value of closing stock from the following according to Weighted Average method: 1st January, 20XX: Opening balance: 50 units @ Rs 4 Receipts: 5th January, 20XX: 100 units @ Rs 5 12th January, 20XX: 200 units @ Rs 450 Issues: 2nd January, 20XX: 30 units 18th January, 20XX: 150 units”

The correct answer is C. Rs. 786.

To calculate the value of closing stock using the weighted average method, we first need to calculate the weighted average cost per unit. This is done by taking the total cost of goods available for sale and dividing it by the total number of units available for sale. In this case, the total cost of goods available for sale is Rs. 1050, which is the sum of the opening balance of Rs. 200, the receipts of Rs. 500, and the issues of Rs. 350. The total number of units available for sale is 300, which is the sum of the opening balance of 50 units, the receipts of 100 units, and the issues of 150 units. Therefore, the weighted average cost per unit is Rs. 3.50.

To calculate the value of closing stock, we multiply the weighted average cost per unit by the number of units in closing stock. In this case, the number of units in closing stock is 100, so the value of closing stock is Rs. 350.

Here is a step-by-step solution:

1. Calculate the total cost of goods available for sale:

Opening balance = Rs. 200
Receipts = Rs. 500
Issues = Rs. 350
Total cost of goods available for sale = Rs. 1050

1. Calculate the total number of units available for sale:

Opening balance = 50 units
Receipts = 100 units
Issues = 150 units
Total number of units available for sale = 300 units

1. Calculate the weighted average cost per unit:

Weighted average cost per unit = Total cost of goods available for sale / Total number of units available for sale
= Rs. 1050 / 300 units
= Rs. 3.50 per unit

1. Calculate the value of closing stock:

Value of closing stock = Weighted average cost per unit x Number of units in closing stock
= Rs. 3.50 per unit x 100 units
= Rs. 350