Nicole owned a cosmetics business but eliminated her inventory lines due to high costs. In December, a supplier offered Nicole a prepackaged spa kit which she agreed to sell exclusively. Nicole's Getaway Spa (NGS) purchased inventory monthly from the supplier at production and transportation costs. On December 31, NGS had 10 units costing $6 each and made additional purchases in February, March, May and June, selling some units each month. The document provides inventory purchase and sale details to calculate cost of goods using FIFO and compute inventory turnover ratio.

1. Required information In October, Nicole eliminated all existing inventory of cosmetic items. The
trouble of ordering and tracking each product line had exceeded the profits earned. In December,
a supplier asked her to sell a prepackaged spa kit. Feeling she could manage a single product
line, Nicole agreed. Nicole's Getaway Spa (NGS) would make monthly purchases from the
supplier at a cost that included production costs and a transportation charge. NGS would keep
track of its new inventory using a perpetual inventory system. On December 31 of last year, NGS
had 10 units at a total cost of $6 per unit. Nicole purchased 25 more units at $8 in February. In
March, Nicole purchased 15 units at $10 per unit. In May, 50 units were purchased at $9.80 per
unit. In June, NGS sold 50 units at a selling price of $12 per unit and 35 units at $10 per unit. .
Compute the Cost of Goods Available for Sale, Cost of Goods Sold, and Cost of Ending Inventory
using the first-in, first-out (FIFO) method. (Round "Cost per Unit" to 2 decimal places.)3. Calculate
the inventory turnover ratio, using the inventory purchasedton December 31 as the beginning
inventory. (Round your answers to 2 decimal places.)