Brief Exercise 6-4

In its first month of operations, Swifty Corporation made three purchases of merchandise in the following sequence: (1)290units at $5, (2)390units at $7, and (3)490units at $8. Assuming there are190units on hand at the end of the period, compute the cost of the ending inventory under (a) the FIFO method and (b) the LIFO method. Swifty Corporation uses a periodic inventory system.

The Ending InventoryFIFO

$

LIFO

$