Perpetual Inventory Using FIFO

Beginning inventory, purchases, and sales for Item PK95 are as follows:

July 1 Inventory 39 units @ $25

9 Sale 33 units

13 Purchase 46 units @ $29

25 Sale 11 units

Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method, determine (a) the cost of merchandise sold on July 25 and (b) the inventory on July 31.

a. Cost of merchandise sold on July 25 $______________

b. Inventory on July 31 $______________