Beginning inventory, purchases, and sales for Item Zeta9 are as follows: Date Line Item Description Value Oct. 1 Inventory 200 units at $40 Oct. 7 Sale 180 units Oct. 15 Purchase 180 units at $45 Oct. 24 Sale 150 units Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method, determine (a) the cost of goods sold on October 24 and (b) the inventory on October 31.
a) COGS on October 24: $8,000; Inventory on October 31: $900.
b) COGS on October 24: $7,200; Inventory on October 31: $1,800.
c) COGS on October 24: $9,000; Inventory on October 31: $800.
d) COGS on October 24: $10,000; Inventory on October 31: $700.