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

Inventory		Purchases		Sales
Dec. 1	4,100 units at $25	Dec. 10	2,050 units at $27	Dec. 12	2,870 units
		Dec. 20	1,845 units at $29	Dec. 14	2,460 units
				Dec. 31	1,230 units

a. Assuming that the perpetual inventory system is used, costing by the LIFO method, determine the cost of goods 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 Goods Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column.

Schedule of Cost of Goods Sold
LIFO Method
Prepaid Cell Phones
Date	Quantity Purchased	Purchases Unit Cost	Purchases Total Cost	Quantity Sold	Cost of Goods Sold Unit Cost	Cost of Goods Sold Total Cost	Inventory Quantity	Inventory Unit Cost	Inventory Total Cost
Dec. 1							fill in the blank	$fill in the blank	$fill in the blank
Dec. 10	fill in the blank	$fill in the blank	$fill in the blank				fill in the blank	fill in the blank	fill in the blank
							fill in the blank	fill in the blank	fill in the blank
Dec. 12				fill in the blank	$fill in the blank	$fill in the blank	fill in the blank	fill in the blank	fill in the blank
				fill in the blank	fill in the blank	fill in the blank
Dec. 14				fill in the blank	fill in the blank	fill in the blank	fill in the blank	fill in the blank	fill in the blank
Dec. 20	fill in the blank	fill in the blank	fill in the blank				fill in the blank	fill in the blank	fill in the blank
							fill in the blank	fill in the blank	fill in the blank
Dec. 31				fill in the blank	fill in the blank	fill in the blank	fill in the blank	fill in the blank	fill in the blank
							fill in the blank	fill in the blank	fill in the blank
Dec. 31	Balances					$			$7

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