Perpetual Inventory Using LIFO

Beginning inventory, purchases, and sales data for prepaid cell phones for December are as follows:

Inventory		Purchases		Sales
Dec. 1	4,200 units at $28	Dec. 10	2,100 units at $30	Dec. 12	2,940 units
		Dec. 20	1,890 units at $32	Dec. 14	2,520 units
				Dec. 31	1,260 units

a. Assuming that the perpetual inventory system is used, costing by the LIFO method, determine the cost of goods 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 first in the Cost of Goods Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column.

Schedule of Cost of Goods Sold
LIFO Method
Prepaid Cell Phones
Date	Quantity Purchased	Purchases Unit Cost	Purchases Total Cost	Quantity Sold	Cost of Goods Sold Unit Cost	Cost of Goods Sold Total Cost	Inventory Quantity	Inventory Unit Cost	Inventory Total Cost
Dec. 1							fill in the blank 1ff4b3063ffffb7_1	fill in the blank 1ff4b3063ffffb7_2	fill in the blank 1ff4b3063ffffb7_3
Dec. 10	fill in the blank 1ff4b3063ffffb7_4	fill in the blank 1ff4b3063ffffb7_5	fill in the blank 1ff4b3063ffffb7_6				fill in the blank 1ff4b3063ffffb7_7	fill in the blank 1ff4b3063ffffb7_8	fill in the blank 1ff4b3063ffffb7_9
							fill in the blank 1ff4b3063ffffb7_10	fill in the blank 1ff4b3063ffffb7_11	fill in the blank 1ff4b3063ffffb7_12
Dec. 12				fill in the blank 1ff4b3063ffffb7_13	fill in the blank 1ff4b3063ffffb7_14	fill in the blank 1ff4b3063ffffb7_15	fill in the blank 1ff4b3063ffffb7_16	fill in the blank 1ff4b3063ffffb7_17	fill in the blank 1ff4b3063ffffb7_18
				fill in the blank 1ff4b3063ffffb7_19	fill in the blank 1ff4b3063ffffb7_20	fill in the blank 1ff4b3063ffffb7_21
Dec. 14				fill in the blank 1ff4b3063ffffb7_22	fill in the blank 1ff4b3063ffffb7_23	fill in the blank 1ff4b3063ffffb7_24	fill in the blank 1ff4b3063ffffb7_25	fill in the blank 1ff4b3063ffffb7_26	fill in the blank 1ff4b3063ffffb7_27
Dec. 20	fill in the blank 1ff4b3063ffffb7_28	fill in the blank 1ff4b3063ffffb7_29	fill in the blank 1ff4b3063ffffb7_30				fill in the blank 1ff4b3063ffffb7_31	fill in the blank 1ff4b3063ffffb7_32	fill in the blank 1ff4b3063ffffb7_33
							fill in the blank 1ff4b3063ffffb7_34	fill in the blank 1ff4b3063ffffb7_35	fill in the blank 1ff4b3063ffffb7_36
Dec. 31				fill in the blank 1ff4b3063ffffb7_37	fill in the blank 1ff4b3063ffffb7_38	fill in the blank 1ff4b3063ffffb7_39	fill in the blank 1ff4b3063ffffb7_40	fill in the blank 1ff4b3063ffffb7_41	fill in the blank 1ff4b3063ffffb7_42
							fill in the blank 1ff4b3063ffffb7_43	fill in the blank 1ff4b3063ffffb7_44	fill in the blank 1ff4b3063ffffb7_45
Dec. 31	Balances					fill in the blank 1ff4b3063ffffb7_46			fill in the blank 1ff4b3063ffffb7_47

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