Question

2. Hassan Company reports the following for the month of June.
Units Unit cost Total Cost
June 1 Inventory 250 $7 $1,750
12 Purchase 325 $8 $2,600
23 Purchase 475 $9 $4,275
30 Inventory 130
Instructions:
a) Compute the cost of the ending inventory and the cost of goods sold under (1)FIFO and (2)LIFO.(2 Mark for Each Method )
b) Which costing method gives the higher ending inventory? Why?(1Marks )

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Inventory costing

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