Monty Corp. sold 6,400 units of its product at $45 per unit in year 2015 and incurred operating expenses of $6 per unit in selling them. It began the year with 600 units in inventory and the following transactions took place during the fiscal year:

DATE	ACTIVITY	UNITS	PRICE
Jan 1	Beginning inventory	600	$17 per unit
Feb 20	Purchase	1,500	$19 per unit
May 16	Purchase	700	$20 per unit
Oct 3	Purchase	400	$21 per unit
Dec 11	Purchase	3,300	$22 per unit
Feb 22	Sale	750	$45 per unit
May 15	Sale	890	$45 per unit
Sep 11	Sale	775	$45 per unit
Dec 28	Sale	3,985	$45 per unit

Problem #7 Prepare comparative income statements for the three inventory cost flow methods of FIFO, LIFO and weighted average. The company uses a perpetual inventory system and its income tax rate is 30%.

In calculating cost of sales, be sure to demonstrate the cost flow of inventory during the year and prove your ending inventory amount by using the inventory cost formula (BI + Purchases = GA EI = CGS).

Weighted Average
Date		Units Purchased	Units Sold	Unit Price	Goods Purchased	Cost of Goods Sold	Units Available	Inventory Balance
FIFO
Date		Units Purchased	Units Sold	Unit Price	Goods Purchased	Cost of Goods Sold	Units Available	Inventory Balance
LIFO
Date		Units Purchased	Units Sold	Unit Price	Goods Purchased	Cost of Goods Sold	Units Available	Inventory Balance