Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales for Item Zeta9 are as follows: Oct. 1 Inventory 36 units @ $22 7 Sale 28 units 15 Purchase 25 units @ $25 24 Sale 15 units Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method, determine (a) the costo goods sold on October 24 and (b) the inventory on October 31. a. Cost of goods sold on October 24 b. Inventory on October 31 Feedback Check My Work a. When the FIFO method is used, costs are included in cost of goods sold in the order in which toey were purchased. Think of your inventory in terms of "layers Determine how much inventory remains from each layer after each sale The ending inventory is made up of the most recent purchases