Ferris Company began January with 7,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows:

	Purchases
Date of Purchase	Units		Unit Cost*			Total Cost
Jan. 10	4,000		$	9			$	36,000
Jan. 18	7,000			10				70,000
Totals	11,000							106,000

* Includes purchase price and cost of freight.

Sales
Date of Sale	Units
Jan. 5	3,000
Jan. 12	1,000
Jan. 20	4,000
Total	8,000

10,000 units were on hand at the end of the month.

3. Calculate January's ending inventory and cost of goods sold for the month using FIFO, perpetual system.

Perpetual FIFO: Cost of Goods Available for Sale Cost of Goods Sold - January 5 Cost of Goods Sold - January 12 Cost of Goods Sold - January 20 Inventory Balance # of units Unit Cost Cost of Goods Available for Sale # of units sold Cost per unit Cost of Goods Sold # of units sold Cost per unit Cost of Goods Sold # of units sold Cost per unit Cost of Goods Sold # of units in ending inventory Cost per unit Ending Inventory Beg. Inventory 7,000 $8.00 $56,000 $8.00 $0 $8.00 $0 $8.00 $0 $8.00 $0 Purchases: January 10 4,000 9.00 36,000 9.00 0 9.00 0 9.00 0 9.00 0 January 18 7,000 10.00 70,000 10.00 0 10.00 0 10.00 0 10.00 0 Total 18,000 $162,000 0 $0 0 $0 0 $0 0 $0