Question1Lopez Company reported the following current-year data for its only product. The company uses a periodic inventory system, and its ending inventory consists of 150 units. Determine the cost assigned to ending inventory and to cost of goods sold using (a) FIFO, and (b) LIFO. (Round per unit costs and inventory amounts to cents.) ( 9 marks) Marking Scheme (FIFO): 1 Mark for each step 5=5 marks Marking Scheme (LIFO): 1 Mark for each step x 4=4 marks Question2 Shepard Company sold 4,000 units of its product during the year and incurred operating and made successive purchases of its product as follows.(16 marks) Required: 1. Calculate cost of goods sold and cost of ending inventory for the two inventory costing methods of FIFO and LIFO (Round all amounts to cents.) The company uses a periodic inventory system. Marking Scheme (FIFO): 1 Mark for each step 4=4 marks Marking Scheme (LIFO): 1 Mark for each step x 4=4 marks 2. What advantages and disadvantages are offered by using (a) LIFO and (b) FIFO? Assume the continuing trend of increasing costs. (8 marks) Marking Scheme: Advantages/ disadvantages of FIFO: 1 mark each 4=4 marks Marking Scheme: Advantages/ disadvantages of LIFO: 1 mark each 4=4 marks