Part B (3 marks)

Silver Traders uses the periodic inventory method and had the following inventory information available in January:

		Units	Unit cost
1/1	Beginning inventory	1 500	$4.00
10/1	Purchase	6 000	$4.40
20/1	Purchase	3 000	$4.20
25/1	Purchase	4 500	$4.80

A physical count of inventory on 31 January revealed that there were 5000 units on hand. Ignore GST.

Required:

Answer the following independent questions.

1) Assume that the company uses the FIFO method. The value of the ending inventory at 31 January is $__________. (1 mark)

2) Assume that the company uses the weighted average cost method. The value of the cost of sales on 31 January is $__________. (1 mark)

3) Assume that the company uses the LIFO method. The value of the cost of sales on 31 January is $__________. (1 mark)

(Narrations in the general journals are not required. Both account names and figures should be correct in order to award marks. Type your response directly into the template in the text box below.)