1. The following information is available for Yancey Company:

Beginning inventory 600 units at $4

First purchase 900 units at $6

Second purchase 500 units at $7.20

Assume that Yancey uses a periodic inventory system and that there are 700 units left at the end of the month.

Instructions

Compute the cost of ending inventory under the

(a) FIFO method.

(b) LIFO method.

Can you please put the steps in detail?