UnitsUnit costUnit sale price

August 3Sale4583

Ausgust 8purchase7552

August 21Sale7085

August 30purchasde 1055

Requirements

1. Prepare perpetual inventory record, and calculate the cost of ending inventory for the inventory using FIFO,LIFO, and average cost method.

2. Determine the firm's cost of sales for the entire month of august using FIFO, LIFO , and average cost method.

3. Calculate gross profit for the entire month of augsut using FIFO, LIFO, average cost method.

4. Which method results in highest gross profit for the month? Provide reasoning and explanation.