102. How are merchandise inventory costs determined under a perpetual inventory system Use the following information to answer the next 2 questions: Beginning Inventory January 1st = 100 units x $10 = $1,000 Purchases on January 15th = 100 units x S12 = $1,200 a) Using the perpetual system and FIFO method, what is the Cost of Goods Sold if we sell 125 units on January 20th? Please show work b) Using the perpetual system and LIFO method, what is the Cost of Goods Sold if we sell 125 units on January 20h? Please show work. LO3. How are the financial statements affected by using different inventory costing methods a) When inventory costs are rising, (LIFO or FIFO) results in the highest cost of goods sold. b) When inventory costs are rising, (LIFO or FIFO results in the lowest net income. L06. How do we use inventory turnover and days' sales in inventory to evaluate business performance a) What are the formulas for inventory turnover and days' sales in inventory? b) Calculate the inventory turnover and days' sales in inventory based on the information below (show work): Cost of goods sold $11,000 Beginning merchandise inventory 4,000 Ending merchandise inventory 3,000