Novak Corp. uses the periodic inventory system and reports the following for the month of June.

				Units			Unit Cost			Total Cost
June 1		Inventory		440			$4			$ 1,760
12		Purchase		880			8			7,040
23		Purchase		660			12			7,920
30		Inventory		220

Calculate Weighted Average Unit Cost. (Round answer to 2 decimal places, e.g. 15.25.)

Weighted Average Unit Cost

$8.44

Compute the cost of the ending inventory and the cost of goods sold using the average-cost method. (Round answers to 0 decimal places, e.g. 1,250.)

The ending inventory		$1857
The cost of goods sold		$enter a dollar amount rounded to 0 decimal places

Will the results in (a) be higher or lower than the results under FIFO and LIFO?

Ending inventory is lower than FIFO ($enter a dollar amount) and higher than LIFO ($enter a dollar amount).

In contrast, cost of goods sold is select an higher than FIFO ($enter a dollar amount) and select an option lower than LIFO ($enter a dollar amount).