Kaleta Company reports the following for the month of June.

Instructions
(a) Compute the cost of the ending inventory and the cost of goods sold under
(1) FIFO
(2) LIFO.
(b) Which costing method gives the higher ending inventory? Why?
(c) Which method results in the higher cost of goods sold?Why?

Transcribed Image Text:

Units Unit Cost Total Cost 200 400 JunePurche 300 30 Inventory 100 JuneInventory 12 Purchase Purchase $1,000 2,400 2,100 S5 6