Problem - Cost flow assumptions-FIFO, LIFO, and weighted average using a periodic system - The following data are available for Sellco for the fiscal year ended on January 31, 2017:

Sales -                                                            3,200 units

Beginning inventory -                                       1,000 units @ $8

Purchases, in chronological order -                    1,200 units @ $10

                                                                      1,600 units @ $12

                                                                       800 units @ $16

Required:

a. Calculate cost of goods sold and ending inventory under the following cost flow assumptions (using a periodic inventory system):

1. FIFO.

2. LIFO.

3. Weighted average.

b. Assume that net income using the weighted-average cost flow assumption is $232,000. Calculate net income under FIFO and LIFO.