Assume that a retailer's beginning inventory and purchases of a popular item during January included $(1)500$ units at $$9\mathrm{.}00$ in

beginning inventory on January $1,(2)650$ units at $$10\mathrm{.}00$ purchased on January $8,$ and $(3)950$ units at $$11\mathrm{.}00$ purchased on January

The company sold $550$ units on January $12$ and $750$ units on January $30.$

Required:

Calculate the cost of goods sold for the month of January under $($a$)$ FIFO $($periodic calculation$),($b$)$ FIFO $($perpetual calculation$),$ and

$($c$)$ LIFO $($periodic calculation$).$

Which cost flow assumption and calculation approach would you recommend to management in order to save taxes?

Complete this question by entering your answers in the tabs below.

Required $1$

Calculate the cost of goods sold for the month of January under $($a$)$ FIFO $($periodic calculation$),($b$)$ FIFO $($perpetual

calculation$),$ and $($c$)$ LIFO $($periodic calculation$).$

Please include the work when solving for LIFO $($periodic$).$