Samuelson and Messenger (SAM) began 2021 with 340 units of its one product. These units were purchased near the end of 2020 for $22 each. During the month of January, 170 units were purchased on January 8 for $25 each and another 340 units were purchased on January 19 for $27 each. Sales of 185 units and 240 units were made on January 10 and January 25, respectively. There were 425 units on hand at the end of the month. SAM uses a periodic inventory system. Required: 1. Calculate ending inventory and cost of goods sold for January using FIFO. 2. Calculate ending inventory and cost of goods sold for January using average cost.

Cost of Goods Available for Sale Average Cost Unit Cost Cost of Goods Sold - Average Cost Average # of units Cost of Cost per sold oods Sold Unit # of units Cost of Goods Available for Sale Ending Inventory - Average Cost # of units Average Ending in ending Cost per Inventory inventory unit 340 $ 22.00 $ 7,480 Beginning Inventory Purchases: January 8 January 19 4,250 170 $ 25.00 340 $ 27.00 850 $ 24.60 9,180 20,910 Total $ | $ 24.60 $ 0 425 $ 24.60 $ 10,455 Cost of Goods Available for Sale FIFO # of units Cost per unit Cost of Goods Available for Sale Cost of Goods Sold - Periodic FIFO Cost of # of units Cost per Goods sold unit Sold 340 22.00 $ 7,480 Ending Inventory - Periodic FIFO # of units Ending Cost per in ending unit inventory Inventory 0 $ 22.00 $ 0 340 $ 22.00 $ 7,480 Beginning Inventory Purchases: 170 4,250 0 85 25.00 January 8 January 19 Total 25.00 27.00 25.00 27.00 340 340 27.00 9,180 20,910 2,125 9,180 11,305 850 340 $ 7,480 425 $