Perpetual Inventory Using FIFO

Beginning inventory, purchases, and sales data for portable game players are as follows:

Apr. 1		Inventory	44 units @ $47
10		Sale	33 units
15		Purchase	24 units @ $49
20		Sale	16 units
24		Sale	8 units
30		Purchase	23 units @ $51

The business maintains a perpetual inventory system, costing by the first-in, first-out method.

Question Content Area

a. Determine the cost of the merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Merchandise Sold Unit Cost column and in the Inventory Unit Cost column.

Perpetual Inventory Account First-in, First-out Method Portable Game Players

Date	Quantity Purchased	Purchases Unit Cost	Purchases Total Cost	Quantity Cost of Merchandise Sold	Cost of Merchandise Sold Unit Cost	Cost of Merchandise Sold Total Cost	Inventory Quantity	Inventory Unit Cost	Inventory Total Cost
Apr. 1							fill in the blank 1efbc0f97fbcf9b_1	$fill in the blank 1efbc0f97fbcf9b_2	$fill in the blank 1efbc0f97fbcf9b_3
Apr. 10				fill in the blank 1efbc0f97fbcf9b_4	$fill in the blank 1efbc0f97fbcf9b_5	$fill in the blank 1efbc0f97fbcf9b_6	fill in the blank 1efbc0f97fbcf9b_7	fill in the blank 1efbc0f97fbcf9b_8	fill in the blank 1efbc0f97fbcf9b_9
Apr. 15	fill in the blank 1efbc0f97fbcf9b_10	$fill in the blank 1efbc0f97fbcf9b_11	$fill in the blank 1efbc0f97fbcf9b_12				fill in the blank 1efbc0f97fbcf9b_13	fill in the blank 1efbc0f97fbcf9b_14	fill in the blank 1efbc0f97fbcf9b_15
							fill in the blank 1efbc0f97fbcf9b_16	fill in the blank 1efbc0f97fbcf9b_17	fill in the blank 1efbc0f97fbcf9b_18
Apr. 20				fill in the blank 1efbc0f97fbcf9b_19	fill in the blank 1efbc0f97fbcf9b_20	fill in the blank 1efbc0f97fbcf9b_21	fill in the blank 1efbc0f97fbcf9b_22	fill in the blank 1efbc0f97fbcf9b_23	fill in the blank 1efbc0f97fbcf9b_24
				fill in the blank 1efbc0f97fbcf9b_25	fill in the blank 1efbc0f97fbcf9b_26	fill in the blank 1efbc0f97fbcf9b_27
Apr. 24				fill in the blank 1efbc0f97fbcf9b_28	fill in the blank 1efbc0f97fbcf9b_29	fill in the blank 1efbc0f97fbcf9b_30	fill in the blank 1efbc0f97fbcf9b_31	fill in the blank 1efbc0f97fbcf9b_32	fill in the blank 1efbc0f97fbcf9b_33
Apr. 30	fill in the blank 1efbc0f97fbcf9b_34	fill in the blank 1efbc0f97fbcf9b_35	fill in the blank 1efbc0f97fbcf9b_36				fill in the blank 1efbc0f97fbcf9b_37	fill in the blank 1efbc0f97fbcf9b_38	fill in the blank 1efbc0f97fbcf9b_39
							fill in the blank 1efbc0f97fbcf9b_40	fill in the blank 1efbc0f97fbcf9b_41	fill in the blank 1efbc0f97fbcf9b_42
Apr. 30	Balances					$fill in the blank 1efbc0f97fbcf9b_43			$fill in the blank 1efbc0f97fbcf9b_44

Question Content Area

b. Based upon the preceding data, would you expect the ending inventory to be higher or lower using the last-in, first-out method?

HigherLower