es Montoure Company uses a periodic inventory system. It entered into the following calendar-year purchases and sales transactions. Activities Beginning inventory Purchase Units Acquired at Cost @ $45.00 per unit @$42.00 per unit $27.00 per unit. Purchase Sales Date January 1 February 10 March 13 March 15 August 21 September 5 September 10 Purchase Purchase Sales Totals Cost of goods available for sale Number of units available for sale Ending inventory 605 units 410 units 205 units Required: 1. Compute cost of goods available for sale and the number of units available for sale. 105 units 505 units units (a) FIFO (b) LIFO 1,830 units 2. Compute the number of units in ending inventory. units @$50.00 per unit @ $46.00 per unit Ending Inventory Units Sold at Retail 820 units @ $75.00 per unit 3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. For specific identification, units sold consist of 605 units from beginning inventory, 305 from the February 10 purchase, 205 from the March 13 purchase, 55 from the August 21 purchase, and 260 from the September 5 purchase. Note: Round your average cost per unit to 2 decimal places. Round your final answers to the nearest whole dollar amount. 610 units @ $75.00 per unit. 1,430 units

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in…