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1. Alex's Caf uses a perpetual inventory system. The records reflected the following for January...

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1. Alex's Caf uses a perpetual inventory system. The records reflected the following for January 2019: Beginning inventory Purchase, January 6 Purchase, January 14 Units 1,000 1,500 1,100 Unit Costs $55 60 62 Sale, January 5 ($100 per unit) Sale, January 12 (at $120 per unit) Sale, January 15 (at $120 per unit) 800 1,200 1,000 a. Compute the cost of Goods Sold, Ending Inventory, and Gross Profit for January using FIFO, LIFO and Average Cost. Show all work and label amounts. For Average Cost, round units costs to 2 decimal places and all other amounts to the nearest dollar. Repeat your calculations assuming Mac's Caf uses a periodic inventory system. For Average Cost, round unit costs to 4 decimal places and all other amounts to the nearest dollar. If Mac's desires to report the lowest profit to save on taxes, which method do you recommend? b. C

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