Question 1: ABC Co, began operations in 2019. Prepare the journal entry required on December 31, 2020 assuming the company uses the Loss method given the following information: Accounts December 31, 2019 December 31, 2020 Cost $350,000 470,000 NRV $350,000 450,000 Question 2: Assume XYZ Co. uses a perpetual inventory system, what is the cost of goods sold using the LIFO cost flow assumption given the following transactions? January 1 Balance 700 units @ $20 March 1 Purchase 400 units @ $25 June ! Purchase 600 units @ $30 February 1 Sale 300 units @ $35 April 1 Sale 550 units @ $35