The following records show the movement of inventory for beans, the main ingredient used by Baked Bean PLC in its canned products, for the month of September:

Required

(a) Prepare the inventory account for Baked Bean PLC and calculate the cost of beans used in the product during September and the inventory balance in terms of quantity and value at the end of the month using:
(i) FIFO cost (ii) CWA cost

(b) Identify which of the two methods would give the higher profit for the month in this particular case, giving your reasons.

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Receipts Issues September Quantity Price per tonne Quantity (tonnes) E (tonnesl 1 1,000 5.00 20 1,000 5.50 3 14 750 15 97 750 1,000 6.00 16 750 29 1,000 6.50 30 750