Periodie Inventory by Three Methods; Cost of Merchandise Sold The units of an item available for sale during the year were as follows: There are 60 units of the item in the physical inwentory at December 31 . The periodic inventory system is used. Determine the inventory cost and the cost of merchandise sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar. Oheck My Work Note that this exercise uses the periodic inventory system. FIFO means that the first units purchased are assumed to be the first to be sold. Therefore, ending inventory costs for the period are calculated by taking the number of itcms remaining in the physical inventory times the most recent purchase price. If the number of items in last purchase layer is less than the number in ending inventory, the balance of the ending inventory items must be recorded at the second most recent purchase cost. The cost of merchandise sold for the pariod can be caleulated by subtrocting the ending inventory from the total cost of goods avallable for sale