Perpetual Inventory Using LIFO Beginning inventory, purchases, and sales data for prepaid cell phones for May are as follows: Inventory May 1 Purchases Sales 2,800 units at $35 May 10 20 1,400 units at $37 1,260 units at $39 May 12 1,960 units 14 1,680 units 31 840 units a. Assuming that the perpetual inventory system is used, costing by the LIFO method, determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4. Under LIFO, if units are in inventory at two different costs, enter the units with the HIGHER unit cost firs in the Cost of Merchandise Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column. Schedule of Cost of Merchandise Sold LIFO Method Prepaid Cell Phones Cost of Merchandise Sold Purchases Purchases Date Quantity Purchased Unit Cost Total Cost Quantity Sold Unit Cost Cost of Merchandise Sold Total Cost Inventory Quantity Inventory Inventory Unit Cost Total Cost May 1 2,800 35 98,000 May 10 1,400 37 51,800 2,800 35 98,000 May 12 1,400 37 51,800 560 35 19,600 is 1,400 37 51,800 May 14 May 20 May 31 00000 Check My Work a. Note that this exercise uses the perpetual inventory system. When the perpetual inventory system is used, revenue is recorded each time a sale May 31 Balances Feedback