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    Cost of Goods Sold and Ending Inventory - FIFO Versus LIFO

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    Catlet Co. uses a periodic inventory system. Its records show the following for the month of May in which 65 units were sold.

    Date Explanation Units Unit Cost Total Cost
    1-May Inventory 30 $8.91 $267.30
    15-May Purchases 25 $11.91 $297.75
    24-May Purchases 35 $12.91 $451.85
    90 $1,016.90

    Compute the ending inventory at May 31 and cost of goods sold using the FIFO and LIFO methods

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    Solution Summary

    This solution illustrates how to compute the cost of goods sold and ending inventory value under the first-in, first-out (FIFO) and last-in, first-out (LIFO) methods.