London Inc. inventory records for a particular development program show the following at May 31, 2017: (Click the icon to view the accounting records.) London uses the periodic inventory system. Requirements 1. Compute cost of goods sold and ending inventory, using each of the following methods: a. Specific unit cost, with two $150 units, three $160 units, and three $170 units still on hand at the end b. Weighted-average cost c. First-in, first-out cost 2. Which method produces the highest cost of goods sold? Which method produces the lowest cost of goods sold? What causes the difference in cost of goods sold? Requirement 1. Compute cost of goods sold and ending inventory, using each of the following methods: (a) Specific unit cost (Enter a zero in fields with no answer.) Cost of Goods Sold units @ $150 Ending Inventory 2 units @ $150 3 units @ 160 units @ 160 units @ 170 3 units @ 170 (b) Weighted-average cost Cost of Goods Sold Ending Inventory units @ $ 160 units @ $160 (c) FIFO - first-in, first-out cost (Enter a zero in fields with no answer.) Cost of Goods Sold Ending Inventory units @ $150 units @ $150 units @ 160 units @ 160 units @ 170 units @ 170 Requirement 2. Which method produces the highest cost of goods sold? Which method produces the lowest cost of goods sold? What causes the difference in cost of goods sold? cost produces the highest cost of goods sold, $2,080. produces the lowest cost of goods sold $2,020. The per unit causes the difference in cost of goods sold. With the lowest cost item is sold first, with more items at higher cost were sold, and with the increase in cost of purchases raised the average cost of items sold. i Accounting records 6 units @ $ 150 = $ 900 May 1 Beginning inventory 15 Purchase.. 26 Purchase... 9 units @ 160 = 1,440 6 units @ 170 = 1,020 At May 31, 8 of these programs are on hand. Print Done