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To solve the problem using the FIFO (First-In, First-Out) method, we will follow these steps:

### Step 1: Understanding FIFO
In the FIFO inventory method, we assume that the oldest inventory items are sold first. We will use this approach to calculate both the Cost of Goods Sold (COGS) and the Ending Inventory.

### Step 2: Given Data Summary
- **April 1 Inventory:** 280 units at $31 per unit.
- **April 15 Purchase:** 450 units at $37 per unit.
- **April 23 Purchase:** 270 units at $40 per unit.
- **Total units available:** 1,000 units.
- **Units sold:** 600 units.

### Step 3: Calculate Cost of Goods Sold (COGS)
We need to find the cost of the first 600 units sold using the FIFO method:

1. **April 1 Inventory:** 280 units at $31 = $8,680.
2. **April 15 Purchase:** Next, we need 320 units more to reach 600 units.
   - 320 units at $37 = $11,840.

Total COGS = $8,680 (from April 1) + $11,840 (from April 15) = **$20,520**.

### Step 4: Calculate Ending Inventory
Ending inventory consists of the remaining units that were not sold:

- April 15 Purchase: 450 units - 320 units = 130 units at $37.
- April 23 Purchase: All 270 units at $40.

Ending inventory value = (130 units × $37) + (270 units × $40) = $4,810 + $10,800 = **$15,610**.

### Final Answers
- **Ending Inventory:** $15,610
- **Cost of Goods Sold (COGS):** $20,520

Would you like more details or have any questions about these calculations?

Here are some related questions to expand your understanding:
1. What are the main differences between FIFO and LIFO inventory methods?
2. How does the choice of inventory method impact financial statements?
3. What are some advantages of using the FIFO method for inventory valuation?
4. How does inflation affect the cost of goods sold under the FIFO method?
5. What would the ending inventory and COGS be if the LIFO method was used instead?

**Tip:** FIFO typically results in a lower cost of goods sold when prices are rising, leading to higher profits and more taxes.

Compute the April 30 inventory and the April cost of goods sold using the FIFO method for Kingbird Company.

Learn how to calculate the ending inventory and the cost of goods sold using the FIFO method for Kingbird Company. The example covers inventory purchases and sales for April, including unit costs and sales details. This problem is ideal for students studying accounting or finance at the university level.

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