Reeves Company maintains a perpetual inventory system inventory costing. Reeves

reported the following events during the month of June:

Date	Event	Number of Units	Unit Cost
June 1	Beginning Inv.	500	$120
4	Purchase	600	$126
7	Sale	450
11	Purchase	900	$128
14	Sale	850
17	Sale	160
25	Purchase	1,000	$130
30	Sale	980

Assume Reeves sells each unit of inventory for $150

Required:

Assuming LIFO, determine the cost of goods sold, the gross margin and the cost of ending inventory for June.

Assuming FIFO, determine the cost of goods sold, the gross margin and the cost of the ending inventory for June.

(a) $67,640; (b) $72,800

(a) $67,640; (b) $105,600

(a) $52,840; (b) $72,800

(a) $80,000; (b) 72,800

		Which would be the correct answer?