Question

Question 55
Boarders sells a snowboard Xpert, that is popular with snowboardenthusiasts. Below is information relating
to Boarder's purchases of Xpert snowboards during September. Duringthe same month, 121 Xpert
snowboards were sold. Boarders uses a periodic inventorysystem.
Date -----Explanation-------Units--------Unit Cost---------TotalCost
Sept 1 -----Inventory -------26 --------$ 98----------------$2,548
Sept 12---- Purchases------- 45-------- 104----------------4,680
Sept 19---- Purchases -------20 --------108----------------2,160
Sept 26 ----Purchases -------50 --------110----------------5,500
----------------Totals ---------141---------------------------$14,888
Compute the ending inventory at September 30 and cost ofgoods sold using the FIFO and LIFO methods. Explain your answer inthe Note Box.
--------------------------------FIFO ----------------LIFO
Ending Inventory----------- $______ -------$_______
Cost of goods sold --------$______ -------$_______


For both FIFO and LIFO, compute the sum of cost of goodssold and ending inventory. What do you notice about the result foreach method.Chose the right answer
(the sums for FIFO and LIFO are equal
(the sum is greater for FIFO
(the sum is greater for LIFO