ani's Kindle for Mac - Accounting Page 354 of 1254 C Show Notebog 354 Chapter 7 Inventories Inventory balance, May 31, $20,160 EX 7-5 Perpetual inventory using LIFO OBJ. 2,3 Beginning inventory, purchases, and sales data for prepaid cell phones for May are as follows: Inventory May 1 1,550 units at $44 Purchases May 10 20 720 units at $45 1.200 units at $48 Sales May 12 14 31 1,200 units 830 units 1.000 units a. Assuming that the perpetual inventory system is used, costing by the LIFO method, determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 5. b. Based upon the preceding data, would you expect the inventory to be higher or lower using the first-in, first-out method? Inventory balance, May 31, $21,120 EX 7-6 Perpetual inventory using FIFO OBJ. 2,3 Assume that the business in Exercise 7-5 maintains a perpetual inventory system, costing by the first-in, first-out method. Determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4. File Home Insert Page Layout Formulas Data Review View Help Tell me what you excut 1. 3 - 10-AA === 2 -A-E 3 Font a l 25 Wrap Text Merge & Center - BTU $ - % 9 LD Copy , e & Format Painter Clipboard C18 . : Font Alignment Number for E F G 4 H I J K Score: 0% Key Code: Key code here] 8 Instructions 9 Answers are entered in the cells with gray backgrounds 10 Cells with non-gray backgrounds are protected and cannot be edited. 11 An asterisk (*) will appear to the right of an incorrect entry. Only final inventory cost-Column K - will be graded. Purchases Unit Cost Prepaid Cell Phones Cost of Merchandise Sold Unit Total Quantity Cost Cost Date Quantity Total Cost May 1 Quantity 1,550 Inventory Unit Cost $44 Total Cost 68.200 $ 31 Balances Ex. 7-6