Jola’s Grain Shop recorded the following purchases and sales during the past year:

Assume that Jola’s Grain Shop sold all of the June 15 purchase and 100 cases each from the January 1 beginning inventory, the October 15 purchase, and the December 15 purchase. Determine the costs that should be assigned to ending inventory and cost of goods sold under each of the following assumptions:

(1) Costs are assigned by the specific identification method,

(2) Costs are assigned by the average-cost method,

(3) Costs are assigned by the FIFO method,

(4) Costs are assigned by the LIFO method.

What conclusions can be drawn about the effect of each method on the company’s income statement and balance sheet? Round your answers to the nearest whole number and assume the periodic inventory system.

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an. Feb. 25 June 15 Oct 15 Dec. 15 Goods available for sale Total sales Dec. 31 Beginning inventory Purchase Purchase Purchase Purchase 125 cases @S23 100 cases $26 200 cases $28 150 cases @ $28 100 cases @ $30 675 cases 500 cases 175 cases $2,875 2,600 5,600 S 4,200 3,000 S18,275 Ending inventory