PQR Ltd. uses both FIFO and LIFO methods for inventory costing to compare results. For the year ended December 31, 2023, the following data is provided:

• Beginning Inventory: 1,000 units at $12 per unit
• Purchases:
  • March 1: 1,500 units at $14 per unit
  • September 1: 2,000 units at $16 per unit

• Sales:
  • 3,200 units sold during the year

• Ending Inventory: 1,300 units

a. Calculate the cost of goods sold (COGS) using the FIFO method. b. Determine the cost of goods sold (COGS) using the LIFO method. c. Compare the financial results (COGS and ending inventory) obtained from FIFO and LIFO. d. Discuss the circumstances under which PQR Ltd. might prefer to use FIFO over LIFO or vice versa.