In its first month of operations, Novak Corp. made three purchases of merchandise in the following sequence: (1) 260 units at $5, (2) 420 units at $6, and (3) 405 units at $7. Assuming there are 175 units on hand, compute the cost of the ending inventory under the (a) FIFO method and (b) LIFO method. Novak uses a periodic inventory system.

In its first month of operations, Novak Corp. made three purchases of merchandise in the following sequence: (1) 260 units at $5, (2) 420 units at $6, and (3) 405 units at $7. Assuming there are 175 units on hand, compute the cost of the ending inventory under the (a) FIFO method and (b) LIFO method. Novak uses a periodic inventory system