ABC Company uses the periodic inventory system.

Date		Unit	Per Unit
Jan 1	Beginning Inventory	400	$15
Jan 8	Purchase	250	$17
Jan 15	Sold	500	$30
Jan 22	Purchase	300	$20

1. Calculate the cost of goods sold for January and ending inventory at January using first in, first out (FIFO) method

2. Calculate the cost of goods sold for January and ending inventory at January using last in, first out (LIFO) method

3. Calculate gross profit and income tax for both inventory costing methods (FIFO and LIFO). Income tax rate is 35%. (assume no other expense but cost of goods sold)