Date	Item	Quantity	Unit Cost	Sale Price
1-Jun	Balance	14	$45
2-Jun	Purchase	4	69
7-Jun	Sale	6		$112
13-Jun	Sale	4		112

1. Determine the amounts that Music World should report for cost of goods sold and ending inventory two ways:

a. FIFO

b. LIFO

2. Music World uses the FIFO method. Prepare Music World's inocme statement for the month ended June 30,2014, reporting gross profit. Operating expenses totaled $340, and the income tax rate was 40%