PLEASE EXPLAIN

Maranello Inc. sells ceramic mugs. During May 2017, its inventory records for one brand of ceramic mugs were as follows:

Beginning Inventory ....................	20 mugs	@	$ 3
May 1 Purchase .....................	24 mugs	@	3.25
May 3 Sale ........................	35 mugs
May 7 Purchase ....................	57 mugs	@	3.50
May 9 Sale ........................	30 mugs

1. See information for Maranello Inc. above. Using this information, periodic FIFO cost of goods sold is

1. $211.50
2. $225.50
3. $153.75
4. None of the above

2. See information for Maranello Inc. above. Using this information, the cost of goods sold using the perpetual average cost method is (round your answer to two decimals)

1. $213.29
2. $217.20
3. $214.77
4. None of the above