Allstate Sporting Goods started April with an inventory of 10 sets of golf clubs that cost a total of \(\$ 1,500\). During April, Allstate purchased 20 sets of clubs for \(\$ 3,200\). At the end of the month, Allstate had six sets of golf clubs on hand. The store manager must select an inventory costing method, and he asks you to tell him both cost of goods sold and ending inventory under these two accounting methods, assuming the periodic system is used.

1.

a. Weighted-average cost

b. FIFO 2. If the store manager wants the most current cost for ending inventory, which method should he choose?