Question 7: Inventory and Cost of Goods Sold (14 marks)

Listowel Inc. inventory records for a particular product show the following at October 31, 2021:

Oct 1	Beginning inventory	6	Units @	$170	=	$1,020
Oct 15	Purchase	13	Units @	180	=	$2,340
Oct 26	Purchase	6	Units@	190	=	$1,140

At October 31, 12 of these products are on hand. Listowel uses the perpetual inventory system.

Required:

Journalize for Listowel:

Total October purchases in one summary entry. All purchases were on credit.

Total October sales and cost of goods sold in two summary entries. The selling price was $525 per unit, and all sales were on credit. Listowel uses the FIFO inventory method

Under FIFO, how much gross profit did earn on these transactions?

What is the FIFO cost of Listowels ending inventory?