We noted the following information concerning merchandise inventory . Beginning Inventory 20 @ $10 Purchase 1 80 @ $20 Purchase 2 100 @ Purchase 3 50 @ $40 Units sold Use this information to answer questions 21 - 2 21 . Under the 1 . Under the LIFO ( last - in first - out ) inventory method , what is Cost of Goods Sold ? 2 . $600 b. $1600 C. $5200 d. $6200 2 . Under the FIFO ( first - in first - out ) inventory method , what is the value of our ending inventory ? 2 . $600 b . $1600 $5200 J . $6200 23 . Under the Weighted Average inventory method , what is the value of our ending inventory ? 2 . $1088 b. $1000 C . $5800 d. $5710 24 . Which statement is true concerning the LCM lower cost or market ) application inventory ? a . Failure to apply may violate the cost principle b . It can be applied at the unit or sub - category levels C . Cost of Goods Sold may need to be adjusted d . All of the above 25 . When examining internal controls over E - commerce , which control category is most important : a . Records b . Insurance and Bonds Independent Verification a . Technological