Causwell Company began 2016 with 19,000 units of inventory on hand. The cost of each unit was $6.00. During 2016 an additional 35,000 units were purchased at a single unit cost, and 29,000 units remained on hand at the end of 2016 (25,000 units therefore were sold during 2016). Causwell uses a periodic inventory system. Cost of goods sold for 2016, applying the average cost method, is $167,500. The company is interested in determining what cost of goods sold would have been if the FIFO or LIFO methods were used.

Required:

1.

Determine the cost of goods sold for 2016 using the FIFO method. [Hint: Determine the cost per unit of 2016 purchases.]

2.

Determine the cost of goods sold for 2016 using the LIFO method. (Do not round intermediate calculations.)