Question

Periodic Inventory by Three Methods; Cost of Merchandise Sold

The units of an item available for sale during the year were as follows:

Jan. 1	Inventory	40 units @ $116
Mar. 10	Purchase	70 units @ $128
Aug. 30	Purchase	30 units @ $134
Dec. 12	Purchase	60 units @ $138

There are 80 units of the item in the physical inventory at December 31. The periodic inventory system is used.

Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar.

Cost of Merchandise Inventory and Cost of Merchandise Sold
Inventory Method	Merchandise Inventory	Merchandise Sold
a. First-in, first-out (FIFO)	$fill in the blank 1	$fill in the blank 2
b. Last-in, first-out (LIFO)	fill in the blank 3	fill in the blank 4
c. Weighted average cost	fill in the blank 5	fill in the blank 6

Answer 1