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Question - FIFO and LIFO Costs Under Perpetual Inventory System - The following units of an item were available for sale during the year:
Beginning inventory 20,000 units @ $50
Sale 19,913 units @ $70
First purchase 36,000 units @ $53
Sale 20,462 units @ $71
Second purchase 26,000 units @ $56
Sale 21,606 units @ $71
The firm uses the perpetual inventory system, and there are 20,019 units of the item on hand at the end of the year.
a. What is the total cost of the ending inventory according to FIFO?
b. What is the total cost of the ending inventory according to LIFO?
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