From data compute the ending inventory on each of the following bases. Assume that perpetual inventory records are kept in units only. Carry unit costs to the nearest cent and ending inventory to the nearest dollar.
First-in, first-out (FIFO).
Last-in, first-out (LIFO).
If the perpetual inventory record is kept in dollars, and costs are computed at the time of each withdrawal, would the amounts shown as ending inventory in 1, 2, and 3 above be the same? Explain and compute.
The solution computes the FIFO, LIFO and the average cost of periodic and perpetual is given.