Lauras Homemade cannot decide which inventory method to use to determine its ending inventory. The accounting records for the current year contain the following information:

	Cost	Retail
Purchases	$67,800	$99,500
Beginning inventory	17,200	25,500
Sales		98,000
Net markups		6,500
Net markdowns		3,000

Compute the cost of inventory under the following cost flow assumptions. 1) LIFO 2) Average Cost