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LIFO Perpetual Inventory The beginning inventory of merchandise at Keats Office Supplies and data on purchases and sales for a three-month period are as follows:

LIFO Perpetual Inventory

The beginning inventory of merchandise at Keats Office Supplies and data on purchases and sales for a three-month period are as follows:

Date Transaction Number of Units Per Unit Total
March 3 Inventory 42 $150 $6,300
8 Purchase 84 180 15,120
11 Sale 56 500 28,000
30 Sale 35 500 17,500
April 8 Purchase 70 200 14,000
10 Sale 42 500 21,000
19 Sale 21 500 10,500
28 Purchase 70 220 15,400
May 5 Sale 42 525 22,050
16 Sale 56 525 29,400
21 Purchase 126 240 30,240
28 Sale 63 525 33,075

Required:

1. Record the inventory, purchases, and cost of merchandise sold data in a perpetual inventory record similar to the one illustrated in Exhibit 4, using the last-in, first-out method. If units are in inventory at two different costs, enter the OLDEST units first.

Keats Office Supplies Schedule of Cost of Merchandise Sold LIFO Method For the three months ended May 31, 2014
Purchases Cost of Merchandise Sold Inventory
Date Quantity Unit Cost Total Cost Quantity Unit Cost Total Cost Quantity Unit Cost Total Cost
Mar. 3 $ $
Mar. 8 $ $
Mar. 11 $ $
Mar. 30
Apr. 8
Apr. 10
Apr. 19
Apr. 28
May 5
May 16
May 21
May 28
May 31 Balances $ $

2. Determine the total sales, the total cost of merchandise sold, and the gross profit from sales for the period.

Total sales $
Total cost of merchandise sold
Gross profit from sales $

3. Determine the ending inventory cost as of May 31, 2014. $

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