1. Determine the ending inventory value for IBM using the FIFO method.
2. Determine the ending inventory value using the LIFO method.
3. Explain the impact of using FIFO and LIFO on the cost of goods sold and net income.

Item	Units	Cost per Unit ($)
Beginning Inventory	200	15
Purchases:
- First Purchase	300	16
- Second Purchase	400	18
Units Sold	700

Question:

Using the given data, calculate the ending inventory value for IBM using the FIFO method and the LIFO method. Explain the impact of using FIFO and LIFO on the cost of goods sold and net income.