Am I misunderstanding how FIFO works in Manager?

[Flakily8674]

I create 2 Purchase Invoices:

• Purchase Invoice dated 3/31/2204, bought Item1 at $1 each, qty of 1
• Purchase Invoice dated 3/31/2025, bought Item1 at $2 each, qty of 1
• Both PI have “Act as goods receipt” checked
• Item is set to FIFO costing
• then I clicked inventory cost recalculation

Then I create a Sales Invoice:

• IssueDate 4/21/2025, sold Item 1 for $5, qty of 1

The inventory cost is shown as $1.50, shouldn’t the inventory cost be $1 since the first inventory in the system is the 3/31/2024 invoice?