QUESTION 3 Merchandisers ltd uses the perpetual inventory system and had the following information available about transactions related to the purchases and sales of Inventory. PURCHASES SALES Date Qty Cost per unit Date Qty Selling Price per unit Jan 1 3,000 $16 Jan 17 1,500 $30 Jan 8 4,000 $17 Jan 22 3,000 $30 Instructions Answer the following independent questions. Note: Use unrounded numbers in your calculations but round to the nearest cent for presentation purposes in your answer. QUESTION ANSWER Assume that the company uses the average cost method. The cost of goods sold for the Jan 17 sale was: Assume that the company uses the average cost method. The value of the inventory on Jan 31 was: Assume that the company uses the average cost method. The value of the gross profit reported on Jan 31 financial statements was: Assume that the company uses the FIFO cost method. The cost of goods sold for the Jan 17 sale was: Assume that the company uses the FIFO method. The value of the inventory on Jan 31 was: Assume that the company uses the FIFO method. The value of the gross profit reported on Jan 31 financial statements was: Which method gives the highest profit on Jan 31