Inventory Data - June 1-30 June 1 Inventory 10 units @ $4.00 June 6 Purchase 10 units @ $6.00 June 13 Sale 12 units @ selling price of $10.00 June 20 Purchase 2 units @ $7.50 June 25 Sale 5 units @ selling price of $11.00 Required: Calculate ending inventory, cost of goods sold and gross profit for each inventory method below (assuming a perpetual inventory system): 1. FIFO 2. LIFO Please answer the following: 1. Which inventory method provides the highest profit and why? 2. Which method results in the greater cash flow and why? 3. Which method provides the best income statement matching and why? 4. Which method provides the better balance sheet valuation and why? 5. Is a LIFO liquidation occurring? If so, where is this occurring and how could it be avoided?