FIFO Perpetual Inventory The beginning inventory of merchandise at Rhodes Co. and data on purchases and sales for a three-month period ending June 30 are as follows: 1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory record similar to the one illustrated in Exhibit 3 , using the first-in, first-out method. Under FI 3. Determine the gross profit from sales for the period. 4. Determine the ending inventory cost as of June 30 . 5. Based upon the preceding data, would you expect the inventory using the last-in, first-out method to be higher or lower