Perpetual Inventory Using LIFO

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

Inventory		Purchases		Sales
July 1	3,700 units at $28	July 10	1,850 units at $30	July 12	2,590 units
		July 20	1,665 units at $32	July 14	2,220 units
				July 31	1,110 units

a. Assuming that the perpetual inventory system is used, costing by the LIFO method, determine the cost of merchandise sold for each sale and the inventory balance after each sale.

Schedule of Cost of Merchandise Sold
LIFO Method
Prepaid Cell Phones
Date	Quantity Purchased	Purchases Unit Cost	Purchases Total Cost	Quantity Sold	Cost of Merchandise Sold Unit Cost	Cost of Merchandise Sold Total Cost	Inventory Quantity	Inventory Unit Cost	Inventory Total Cost
July 1							3700	$28	$103600
July 10		$	$
July 12					$	$
July 14
July 20
July 31
July 31	Balances					$			$

b. Based upon the preceding data, would you expect the inventory to be higher or lower using the first-in, first-out method?