DO Perpetual Inventory Using UFO Beginning inventory, purchases, and sales for Item 88-HX are as follows: July 1 Inventory 90 units $35 B Sale 72 units 15 Purchase 100 units $39 27 Sale 84 units Assurning a perpetual Inventory system and using the last-in, first-out (LFO) method, determine (a) the cost of goods sold on July 27 and (b) the inventory on July 31 a. Cost of goods sold on July 27 5,796 x b. Inventory on July 31 1,254 Check My Wher a When the LIFO method is used the cost of the units sold is the cost of the most recent purchases. Think of your inventory in terms of layers Determine how inventory remains from each layer after each sale b. The ending inventory is made up of the oldest purchases DO Perpetual Inventory Using UFO Beginning inventory, purchases, and sales for Item 88-HX are as follows: July 1 Inventory 90 units $35 B Sale 72 units 15 Purchase 100 units $39 27 Sale 84 units Assurning a perpetual Inventory system and using the last-in, first-out (LFO) method, determine (a) the cost of goods sold on July 27 and (b) the inventory on July 31 a. Cost of goods sold on July 27 5,796 x b. Inventory on July 31 1,254 Check My Wher a When the LIFO method is used the cost of the units sold is the cost of the most recent purchases. Think of your inventory in terms of layers Determine how inventory remains from each layer after each sale b. The ending inventory is made up of the oldest purchases