eBook Show Me How Calculator Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales for Item Zeta9 are as follows: Oct. 1 Inventory 57 units @ $18 7 Sale 43 units 15 Purchase 51 units @ $21 24 Sale 19 units Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method, determine (a)the cost of goods sold on October 24 and (b) the inventory on October 31 a. Cost of goods sold on October 24 b. Inventory on October 31 Feedback Check My Work a. When the FIFO method is used, costs are included in cost of goods sold in the order in which they were purchased. Think of your inventory in terms of "layers." Determine how much inventor layer after each sale b. The ending inventory is made up of the most recent purchases. Learning Objective 3. Cost Flow Methods 1.ALGO The following three identical units of Item JC07 are purchased during April: 2.ALGO Item Beta Units Cost 3.ALGO Purchase 1 $233 April 2 April 15 1 234 Purchase Purchase April 20 1 235 Total 3 $702 5.ALGO Average cost per unit $234 ($702 + 3 units) ($+ Assume that one unit is sold on April 27 for $285. Determine the gross profit for April and ending inventory on April 30 using the (a) first-in, first-out (FIFO); (b) last-in, first-out weighted average cost method.