Alta Ski Company's inventory records contained the following information regarding its latest ski model. The company uses a periodic inventory system. Beginning inventory, January 1, 2021 Purchases: January 15 January 21 Sales: January 5 January 22 January 29 Ending inventory, January 31, 2021 900 units @ $100 each 1,900 units @ $115 each 1,700 units @ $120 each 850 units @ $140 each 1,250 units @ $150 each 700 units @ $155 each 1,700 units Required: 1a. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 1b. Which method will result in the highest ending inventory balance? 2. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. 3a. Assume that inventory costs were declining during January. The inventory purchased on January 15 had a unit cost of $90, and the Required: 1a. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 1b. Which method will result in the highest ending inventory balance? 2. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. 3a. Assume that inventory costs were declining during January. The inventory purchased on January 15 had a unit cost of $90, and the inventory purchased on January 21 had a unit cost of $85. All other information is the same. Which method, FIFO or LIFO, will result in the highest cost of goods sold figure for January 2021? 3b. Which method will result in the highest ending inventory balance? 3c. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Req 1A and 1B Req 2 Req 3A and 3B Req 3C Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Req 1A and 1B Req 2 Req 3A and 3B Req 3C Cost of Goods Available for Sale Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Ending Inventory - Periodic FIFO Cost of Goods Sold - Periodic FIFO FIFO # of units Cost per unit Cost of Goods # of units Cost per Available for sold unit Cost of Goods Sold Sale # of units in ending inventory Cost per unit Ending Inventory Beginning Inventory 900 $100 $ 90,000 $ 100 $ 100 $ 0 Purchases: January 15 1,900 $ 115 218,500 January 21 1,700 $ 120 204,000 Total 4,500 $ 512,500 $ 115 $ 115 0 $ 120 0 $ 120 0 $ 0 0 $ 0 LIFO # of units Cost per unit Cost of Goods Available for Sale Cost of Goods Available for Sale Cost of Goods Sold - Periodic LIFO Ending Inventory - Periodic LIFO # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory Purchases: January 15 1,900 $115 218,500 $ 115 January 21 Total 1,700 $120 4,500 204,000 $ 120 0 $ SS $ 115 0 120 $ 512,500 0 $ 0 0 $ 0 LIFO # of units Cost per unit Cost of Goods Available for Sale Cost of Goods Available for Sale Cost of Goods Sold - Periodic LIFO Ending Inventory - Periodic LIFO # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory Beginning Inventory 900 $100 $ 90,000 $ 100 $ 0 $ 100 Purchases: January 15 1,900 $ 115 218,500 $ 115 January 21 1,700 $ 120 204,000 $ 120 Total 4,500 $ 512,500 0 $ 0 $ 115 $ 120 0 0 S 0 < Req 1A and 1B Req 3A and 3B > Req 1A and 1B Req 2 Req 3A and 3B Req 3C Compute cost of goods sold for January and the ending inventory using both the FIFO and LIFO methods. Cost of Goods Available for Sale - FIFO Cost of Goods Sold - Periodic FIFO Inventory Balance - Periodic FIFO FIFO: Cost of # of # of units Cost per unit Goods Available for units Cost per unit Cost of Goods Sold sold # of units in ending inventory Cost per unit Ending Inventory Sale $ 900 $ 90,000 $ 100.00 $ 100.00 $ 0 100.00 Beg. Inventory Purchases: January 15 January 21 1,900 90.00 171,000 Total 1,700 85.00 4,500 144,500 90.00 85.00 $ 405,500 0 $ Cost of Goods Available for Sale - LIFO Cost of Goods Sold - Periodic LIFO Cost of 0 90.00 85.00 0 0 0 $ 0 Inventory Balance - Periodic LIFO ck my work January 21 Total 1,700 4,500 85.00 144,500 85.00 $ 405,500 0 S 85.00 0 0 S 0 Cost of Goods Available for Sale - LIFO Cost of Goods Sold - Periodic LIFO Inventory Balance - Periodic LIFO Cost of LIFO: # of Cost per units unit Goods Available for # of units sold # of units Cost per unit Cost of Goods Sold in ending inventory Cost per unit Ending Inventory Sale $ 900 $ 90,000 $ 100,00 $ 100.00 S 0 100.00 Beg. Inventory Purchases: January 15 1,900 90.00 171,000 January 21 1,700 85.00 144,500 90.00 85.00 90.00 0 0 85.00 Total 4,500 $ 405,500 0 $ 0 0 $ 0 < Req 3A and 3B Req 3C >