Q.1 Dill Co. records purchases at net amounts and uses periodic inventories. Prepare entries for the following: June 11 Purchased merchandise on account, $15,000, terms 2/10, n/30. 15 Returned part of June 11 purchase, $800, and received credit on account. 30 Prepared the adjusting entry required for financial statements. Q.2 During June, the following changes in inventory item 27 took place: June 1 Balance 1,400 units @ $36 14 Purchased 800 units @ $54 24 Purchased 700 units @ $45 Sold 400 units @ $75 10 Sold 1,000 units @ $60 29 Sold 500 units @ $66 Perpetual inventories are maintained. What is the cost of the ending inventory for item 27 under the following methods? (Show calculations.) (a) FIFO (b) LIFO