Perpetual: LIFO and Moving-Average

Kelley Company began business on January 1, 20-1. Purchases and sales during the month of January are shown.

Date	Purchases		Sales
	Units	Cost/Unit	Units
Jan. 1	90	$1.00
Jan. 4	390	1.10
Jan. 5			290
Jan. 10	320	1.20
Jan. 12			200
Jan. 15	200	1.30
Jan. 18	520	1.50
Jan. 22			840
Jan. 27			100
Jan. 31	320	1.60

Required:

Calculate the total amount to be assigned to cost of goods sold for January and the ending inventory on January 31, under each of the following methods. In your calculations round the average unit cost to four decimal places and answers to the nearest cent.

	Cost of Goods Sold	Inventory on Hand
1. Perpetual LIFO inventory method
2. Perpetual moving-average inventory method