Walmart Inc. uses the FIFO method for inventory valuation. For the fiscal year ended January 31, 2023, the following data is provided:

• Beginning Inventory: 100,000 units at $10 per unit
• Purchases:
  • April 1: 150,000 units at $12 per unit
  • September 1: 200,000 units at $15 per unit

• Sales:
  • 300,000 units sold during the year

• Ending Inventory: 150,000 units
• Calculate the cost of goods sold (COGS) using the FIFO method for Walmart Inc.
• Determine the value of ending inventory using the FIFO method.
• Compare Walmart Inc.’s financial performance under FIFO with what it would be under LIFO.
• Discuss the operational advantages of using FIFO in Walmart Inc.’s retail inventory management.
• Analyze how FIFO affects Walmart Inc.’s working capital management.
• Evaluate Walmart Inc.’s inventory turnover ratio under FIFO and its industry benchmark.