Assume that Midway Cycles bought and sold a line of mountain bikes during May as follows: Midway

Question:

Assume that Midway Cycles bought and sold a line of mountain bikes during May as follows:

Midway Cycles uses the perpetual inventory system.
Requirements
1. Compute the cost of ending inventory under FIFO.
2. Compute the cost of ending inventory under average cost.
3. Which method results in higher cost of ending inventory?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...