1)

Fulbright Corp. uses the periodic inventory system. During its first year of operations, Fulbright made the following purchases (listed in chronological order of acquisition):

• 60 units at $160 per unit
• 170 units at $177 per unit
• 190 units at $157 per unit

Sales for the year totaled 370 units, leaving 50 units on hand at the end of the year.

In comparing the ending inventory balances of FIFO and LIFO, the ending inventory value under FIFO less the ending inventory balance under LIFO results in a difference of:

Multiple Choice

• $150.

• $(150).

• $0.

• $53.

2)

Inventory records for Herb's Chemicals revealed the following:

March 1, 2021, inventory: 1,300 gallons @ $7.80 per gallon = $10,140

Purchases:							Sales:
Mar. 10	660	gals	@	$	7.85		Mar. 5	460	gals
Mar. 16	860	gals	@	$	7.90		Mar. 14	760	gals
Mar. 23	660	gals	@	$	7.95		Mar. 20	560	gals
							Mar. 26	760	gals

Ending inventory assuming LIFO in a periodic inventory system would be:

Multiple Choice

• $7,332.

• $7,347.

• $7,379.

• $7,439.