Determine the cost of the inventory on December $31$ by the first$-$in$,$ first$-$out method. Determine the cost of the inventory on December $31$ by the last$-$in$,$ first$-$out method.

OLDEST units first.

Dymac Appliances

Cost of the Inventory$-$LIFO Method

December $31$

Determine the cost of the inventory on December $31$ by the weighted average cost method. Determine the cost of the inventory on December $31$ by the weighted average cost method.

Dymac Appliances

Cost of the Inventory$-$Weighted Average Method

December $31$

$4$a$.$ Which inventory method would be preferred for income tax purposes in periods of rising prices?

$x$

$4$b$.$ Which inventory method would be preferred for income tax purposes in periods of declining prices?

PURCHASED MOST RECENTLY first.

Dymac Appliances

Cost of the Inventory$-$FIFO Method

December $31$