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PSA5.6 Determine ending inventory under a perpetual inventory system. L09 Fontana Ltd began operations on...

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PSA5.6 Determine ending inventory under a perpetual inventory system. L09 Fontana Ltd began operations on 1 July. It uses a perpetual inventory system. During July the business had the following purchases and sales. Purchases Date Units Unit cost Sales units July 1 5 $ 95 6 11 4 106 14 3 21 3 112 27 4 Required (a) Determine the ending inventory under a perpetual inventory systemusing (1) FIFO. (2) average cost and (3) LIFO. (b) Which costing method produces the highest cost allocation to ending inventory

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