Comparison of LIFO and FIFO The Dowell Coal Co. does not maintain a perpetual-inventory system. The inventory of coal on June 30 shows 1,000 tons at $6 per ton. The following purchases were made during July:

July 5 2,000 Tons @ $7 per ton July 15 500 Tons @ $8 per ton July 25 600 Tons @ $9 per ton A physical inventory on July 31 shows a total of 1,200 tons on hand.

Revenue from sales of coal for July totals $30,000.

Compute the inventory value as of July 31, using:

. LJFO—Last in, first out

. FIFO—First in, first out lop5