Problem 6-3B P6-3BSmythe Company Inc. had a beginning inventory of 200 units of Product Determine cost of goods ERV at a cost of $6 per unit. During the year, purchases were: sold and ending inven- Jan. 24 800 units at $7 Aug. 19 600 units at $ 9 tory using FIFO, LIFO, Apr. 12 400 units at $8 Nov. 30 350 units at $10 and average-cost in a periodic inventory sys- Smythe Company uses a periodic inventory system. Sales totalled 1,900 units. tem and assess financial statement effects. Instructions (b) Cost of goods (a) Determine the cost of goods available for sale. (LO 2), AP sold: FIFO $14,500 (b) Determine the ending inventory and the cost of goods sold under each of the LIFO $15,950 assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accu- Average $15,281 racy of the cost of goods sold under the FIFO and LIFO methods. (Round av- erage unit cost to three decimal places.) (c) Which cost flow method results in the lowest inventory amount for the bal- ance sheet? The lowest cost of goods sold for the income statement