Perpetual Inventory Using LIFO

Beginning inventory, purchases, and sales data for DVD players are as follows:

November 1		Inventory	71 units at $85
10		Sale	53 units
15		Purchase	95 units at $89
20		Sale	52 units
24		Sale	15 units
30		Purchase	39 units at $93

The business maintains a perpetual inventory system, costing by the last-in, first-out method.

Determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4.

Under LIFO, if units are in inventory at two different costs, enter the units with the HIGHER unit cost first in the Cost of Goods Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column.

Schedule of Cost of Goods Sold LIFO Method DVD Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold cost of Goods Sold Unit Cost Cost of Goods Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Nov. 1 71 $ 85 $ 6,035 Nov. 10 $4,505 18 85 1,530 Nov. 15 95 $ 89 8,455 85 1,530 8,455 Nov. 20 52 4,628 1,530 89 1,602 Nov. 24 15 1,335 85 765 765 Nov. 30 Nov. 30 29 39 28 3627) 3,627 3,627 3,627 Nov. 30 Balances