Discussion Question Luther Electronics sell a variety of gadgets including tablets. The business uses a perpetual inventory system and the LIFO method to account for inventory and began the third quarter of 2018 with merchandise inventory of 10 "PIXI 3G 7" tablets at a total cost of $134,200. During the quarter, the company completed the following transactions. July 8 Purchased 38 tablets at a total cost of $528,200. July 31 The sales for July were 18 tablets which yielded total sales revenue of $332,640. August 12 Owing to an increased demand for this product, 30 tablets were purchased on account at a cost of $13,905 each. In addition Luther paid $350 in cash on each tablet to have the inventory shipped from the vendor's warehouse to his warehouse. August 27 6 of the tablets purchased on August 12 were returned to the supplier, as they were defective. August 31 During the month 44 tablets were sold at a price of $19,960 each. ( 10 of these units sold were on account to a long standing customer of the business) September 4 A customer, to whom 8 tablets were sold during the first business day of August, returned 4 of the units, as they were not of the brand ordered. September 10 In preparation for the new school year, Luther purchased 35 tablets at a cost of $15.500 each; these were subject to a trade discount of 2% each. September 30 39 tablets were sold during September at a unit selling price of $22,275. September 30 An actual count of inventory was carried out which revealed that there were 8 units of the merchandise in the store room. Unless otherwise stated, assume that all purchases are on account and all sales are for cash. Required: i) Prepare a perpetual inventory record for this merchandise, to determine the company's cost of goods sold for the quarter and the value of ending. Given that selling & distribution and administrative costs for the quarter were $67,240 and$150,190 respectively, prepare an income statement for Luther Electronics for the quarter ended September 30, 2018. State the journal entries necessary to record the transactions on August 12 and August 31, assuming the company uses a: - Perpetual inventory system Periodic inventory system iv) Assuming that Luther used the perpetual system and weighted average method of inventory valuation, determine the value of ending inventory and cost of goods sold after the July 31 transaction