Paddington Gifts made purchases of a particular product in the current year as follows:

Jan.	1	Beginning inventory		280	units		@	$	6.40		=	$	1,792
Mar.	7	Purchased		540	units		@	$	6.00		=		3,240
July	28	Purchased		1,100	units		@	$	5.40		=		5,940
Oct.	3	Purchased		860	units		@	$	4.80		=		4,128
		Totals		2,780	units							$	15,100

1. The business uses a periodic inventory system. Ending inventory consists of 130 units. Calculate the costs to be assigned to the ending inventory and to goods sold under: (Round intermediate calculations and final answers to 2 decimal places for "Weighted average cost".)

2. Which method provides the lower profit? multiple choice

Weighted-average cost

FIFO