Perpetual inventory using FIFO

Beginning inventory, purchases, and sales data for prepaid cell phones for December are as follows:

Inventory

Dec. $1,310$ units at $$88$

Purchases

Dec. $10,144$ units at $$90$

$20240$ units at $$96$

Sales

Dec. $12,240$ units

$14,166$ units

$31,200$ units

Assume that the business maintains a perpetual inventory system, costing by the first$-$in$,$ first$-$out method. Determine the cost of goods sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit $3.$ Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Goods Sold Unit Cost column and in the Inventory Unit Cost column.

FIFO Method

Prepaid Cell Phones

$\backslash$table$[[$Date$,\backslash$table$[[$Purchases$],[$Quantity$]],\backslash$table$[[$Purchases$],[$Unit Cost$]],\backslash$table$[[$Purchases$],[$Total Cost$]],\backslash$table$[[$Cost of$],[$Goods Sold$],[$Quantity$]],\backslash$table$[[$Cost of$],[$Goods Sold$],[$Unit Cost$]],\backslash$table$[[$Cost of$],[$Goods Sold$],[$Total Cost$]],\backslash$table$[[$Inventory$],[$Quantity$]],\backslash$table$[[$Inventory$],[$Unit Cost$]],\backslash$table$[[$Inventor$],[$Total Cos$]]],[$Dec$.1,,,,,,,$X$,$X$,6,160],[$Dec$.10,x,x,,,,,,,],[$Dec$.12,,,,,,,,,],[$Dec$.14,,,,,,,,,],[$Dec$.20,,,,,,,,,],[$Dec$.31,,,,,,,,,],[31,$co$,,,,,,,,]]$

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Note that this exercise uses the perpetual inventory system. FIFO means that the first units purchased are assumed to he the first to he sold. Therefore. ending inventorv is made un of the most recent nurchases.