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Beginning inventory, purchases, and sales data for prepaid cell phones for May are as follows: Inventory Purchases Sales May 1 2,200 units at $34 May

Beginning inventory, purchases, and sales data for prepaid cell phones for May are as follows:

Inventory Purchases Sales
May 1 2,200 units at $34 May 10 1,100 units at $36 May 12 1,540 units
20 990 units at $38 14 1,320 units
31 660 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 4. Under LIFO, if units are in inventory at two different costs, enter the units with the HIGHER unit cost first in the Cost of Merchandise Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column.image text in transcribed

b. Based upon the preceding data, would you expect the inventory to be higher or lower using the first-in, first-out method

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