Refer to the data for E5-16A. However, instead of the FIFO method, assume Jameson’s Sports Shop uses the LIFO method.
1. Prepare a perpetual inventory record for the watches on the LIFO basis to determine the cost of ending inventory and cost of goods sold for the month.
2. Journalize Jameson’s Sports Shop’s inventory transactions using the perpetual LIFO method. Assume that all purchases and sales are on account.