Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales for Item PK95 are as follows: Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method, determine (a) the cost of merchandise sold on January 25 and (b) the inventory on January 31. a. Cost of merchandise sold on January 25 b. Inventory on January 31 X x Feedback Vheck My Work b. The ending inventory is made up of the most recent purchases