Intermediate accounting

E8.9 (L03) (FIFO and Average-Cost Determination) LoBianco Company's record of transactions for the month of April was as follows. April co Purchases Sales 1 (balance on hand) 600 @ $6.00 April 3 500 @ $10.00 1,500 @ 6.08 9 1,300 @ 10.00 800 @6.40 11 600 @ 11.00 1,200 @ 6.50 23 1,200 @ 11.00 700 @ 6.60 27 900 @ 12.00 500 @ 6.79 4,500 5,300 a 29 Instructions (Round unit price averages to four decimal places.) a. Assuming that periodic inventory records are kept, compute the inventory at April 30 using (1) FIFO and (2) average-cost. b. Assuming that perpetual inventory records are kept in both units and dollars, determine the inventory at April 30 using (1) FIFO and (2) average-cost. c. In an inflationary period, which inventory methodFIFO or average-cost-will show the highest net income