Practice Problem 1 showed cost of goods sold computations under a periodic inventory system. Now let’s assume that Englehart Company uses a perpetual inventory system.
The company has the same inventory, purchases, and sales data for the month of March as shown earlier:
Inventory: March 1 200 units @ $4.00 $ 800 Purchases:
March 10 500 units @ $4.50 2,250 March 20 400 units @ $4.75 1,900 March 30 300 units @ $5.00 1,500 Sales:
March 15 500 units March 25 400 units The physical inventory count on March 31 shows 500 units on hand.
INSTRUCTIONS Under a perpetual inventory system, determine the cost of inventory on hand at March 31 and the cost of goods sold for March under

(a) FIFO,

(b) LIFO, and

(c) moving-average cost.