Whats the best way to solve for the following step by step I

What\'s the best way to solve for the following step by step? I\'m having a particularly hard time calculating LIFO\'s COGS?

Hamilton Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 1: Units Unit Cost Inventory, December 31, prior year For the current year 1,890 $8 6,180 4,110 2,890 7 Purchase, March 21 Purchase, August 1 Inventory, December 31, current year Required Compute ending inventory and cost of goods sold under FIFO, LIFO, and average cost inventory costing methods. (Round Average cost per unit\" to 4 decimal places and final answers to nearest whole dollar amount.) Average Cost FIFO LIFO 4,450 S 22,120 Ending inventory $ Cost of goods sold64,480

Solution

Units Unit Cost Inventory, December 31, prior year 1890 8 15120 For the current year Purchase, March 21 6180 7 43260 Purchase, August 21 4110 5 20550 63810 Inventory, December 31, current year 2890 FIFO LIFO Average cost Ending Inventory 14450 22120 18727.2 Cost of Goods sold 64480 56810 60199.2 No of Units Sold Opening Inventory + Purchase - Closing Inventory 1890+6180+4110-2890 9290 Under FIFO Units Unit Cost Inventory, December 31, prior year 1890 8 Sold 1890 0 For the current year Purchase, March 21 6180 7 Sold 6180 0 Purchase, August 21 4110 5 1220 2890 Closing Inventory 2890*5 14450 Cost of Goods Sold = (1890*8)+(6180*7)+(4110*5)-(2890*5) Cost of Goods Sold 64480 Under LIFO Units Unit Cost Inventory, December 31, prior year 1890 8 1890 For the current year Purchase, March 21 6180 7 Sold 5180 1000 Purchase, August 21 4110 5 Sold 4110 0 Closing Inventory -1000*7 7000 1890*8 15120 Total Inventory 22120 Cost of Goods Sold = 15120+63810-22120 56810 Average Cost Units Unit Cost Inventory, December 31, prior year 1890 8 15120 For the current year Purchase, March 21 6180 7 43260 Purchase, August 21 4110 5 20550 12180 78930 Average unit Cost = 78930/12180           6.48 Value of Inventory - 2890*6.48 18727.2 Cost of Goods Sold - 9290*6.48 60199.2