JW , WLUIDW- l, 1976. 17 Elvin Company began operations in 20X2 by selling a single product. Data on purchases and sales for the year are as follows: RE PURCHASES DATE TOTAL COST 3 875 12.20 April 8 May 10 47275 4 125 13.00 53 625 June 4 5000 13.20 66 000 5000 14.00 July 10 August 3 70 000 48 450 3400 14.25 UNTS PURCH Salg VALY October 5 1600 14.50 23 200 14950 November 1 14.95 December 10 1000 1000 25000 16.00 16000 $339 500 WIGO ASSWORD AMTS SOLDS PAS April 2000 May 2000 June 2500 3000 July August September October 3500 3 500 2250 November 1250 December Total units Total sales 1000 21000 $552 000 Total sales $552 000 On 3 January 20X3 the president of the company, Robert Bilbo, asks for your advice on costing the 4000-unit physical inventory that was taken on 31 December 20X2. Moreover, since the business plans to expand its product line, he has asked for your advice on the use of a perpetual inventory system in the future. a Determine the cost of the 31 December 20X2 inventory under the pegiodic system, using: i first in, first out method i last in, first out method ji average cost method b Determine the gross profit for the year under each of the three methods in (a). ci What argument can be used to justify why each of the three inventory costing methods may best reflect the results of operations for 20X2? i Which of the three inventory costing methods may best reflect the replacement cost of the inventory on the balance sheet as of 31 December 20X2? hindi