Flora's Gifts reported the following current-month data for its only product. The company uses a periodic inventory system, and its ending inventory consists of 60 units-50 units from the January 6 purchase and 10 units from the January 25 purchase. January 1 January 6 January 17 January 25 Beginning inventory Purchase Purchase Purchase Totals Req A to D (a-d) Determine the cost assigned to ending inventory and to cost of goods sold for the following. (e) Which method yields the lowest net income? Complete this question by entering your answers in the tabs below. Req E (c) FIFO (d) LIFO 138 units 300 units 540 units 22 units 1,000 units (a) Specific identification (b) Weighted average @ $3.00 @ $2.80 @ $2.30 @ $2.00 Determine the cost assigned to ending inventory and to cost of goods sold for the following. Note: Do not round intermediate calculations and round your answers to nearest whole dollar. Ending Inventory $ 414 840 1,242 44 $ 2,540 Cost of Goods Sold

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…