Garrett Company has the following transactions during the months of April and May:

Date	Transaction	Units	Cost/Unit
April 1	Balance	500
17	Purchase	200	$5.40
25	Sale	150
28	Purchase	100	5.80
May 5	Purchase	250	5.40
18	Sale	300
22	Sale	50

The cost of the inventory on April 1 is $5, $4, and $2 per unit, respectively, under the FIFO, average, and LIFO cost flow assumptions.

Required:

1. Compute the inventories at the end of each month and the cost of goods sold for each month for the following alternatives:

1. FIFO periodic

   Cost of Goods Sold

   Ending Inventory

   April

   $ fill in the blank 1

   $ fill in the blank 2

   May

   $ fill in the blank 3

   $ fill in the blank 4

   • FIFO perpetual

     Cost of Goods Sold

     Ending Inventory

     April

     $ fill in the blank 5

     $ fill in the blank 6

     May

     $ fill in the blank 7

     $ fill in the blank 8

     • LIFO periodic

       Cost of Goods Sold

       Ending Inventory

       April

       $ fill in the blank 9

       $ fill in the blank 10

       May

       $ fill in the blank 11

       $ fill in the blank 12

       • LIFO perpetual (Round your intermediate calculations to the nearest cent.)

         Cost of Goods Sold

         Ending Inventory

         April

         $ fill in the blank 13

         $ fill in the blank 14

         May

         $ fill in the blank 15

         $ fill in the blank 16

         • Weighted average (Round unit costs to 4 decimal places and final answers to the nearest dollar.)

           Cost of Goods Sold

           Ending Inventory

           April

           $ fill in the blank 17

           $ fill in the blank 18

           May

           $ fill in the blank 19

           $ fill in the blank 20

           • Moving average (Round unit costs to 2 decimal places and final answers to nearest dollar.)

             Cost of Goods Sold

             Ending Inventory

             April

             $ fill in the blank 21

             $ fill in the blank 22

             May

             $ fill in the blank 23

             $ fill in the blank 24 2. Reconcile the difference between the LIFO periodic and the LIFO perpetual results. If an amount is zero, enter "0".

             April	Cost of Goods Sold	Ending Inventory
             Difference	$ fill in the blank 25	$ fill in the blank 26
             May	Cost of Goods Sold	Ending Inventory
             Difference	$ fill in the blank 27	$ fill in the blank 28

             3. If Garrett uses IFRS, which of the previous alternatives would be acceptable, and why?

             If Garrett Company uses IFRS, it may report its inventory under FIFO . It may not use Average under IFRS because it is not consistent with any presumed physical flow of inventory. Also, FIFO is not allowed for tax purposes in most other countries, so there is no tax incentive for a company to use Average . Note that companies that use IFRS and have rising inventory costs will report a higher income because they include holding gains in income.