1 2 3 3 4 Inventory Costing Methods Anderson's Department Store has the following data for inventory, purchases, and sales of merchandise for December: Activity Units Purchase Price per Unit Sales Price per Unit 8 8.8 9.05 Beginning Inventory Purchase 1, Dec. 2 Purchase 2, Dec. 5 Sale 1. Dec. 7 Sale 2. Dec. 10 Purchase 3, Dec. 12 Sale 3, Dec. 14 10 22 26 19 25 12 20 20 20 9.8 20 Anderson uses a perpetual inventory system. All purchases were made for cash Required: 1) Compute the Cost of Goods Sold and Ending Inventory balance using FIFO. 2) Compute the Cost of Goods Sold and Ending Inventory balance using LIFO. 3) Compute the Cost of Goods Sold and Ending Inventory balance using Average Cost 4) Which method would result in the lowest amount paid for taxes