Inventory valuation with a perpetual system Lorrain Manufacturing Company uses a perpetual inventory system for its raw materials. It maintained the following record of alnico magnets purchased and used in the manufacture of a large machine tool component.

Transcribed Image Text:

Jan. 1 Beginning inventory 120 @ $180 3 Purchases 30 @ 185 12 Issued 80 units 15 Purchases 60 @ 192 18 Issued 90 units 28 Purchase 40 @ 210 REQUIRED Compute the amount of direct material added to work in process assuming use of the following inventory valuations: a. FIFO. b. LIFO. c. Moving average, rounded to three decimal places.