PA$7-4($Algo$)($Supplement $7$A$)$ Analyzing the Effects of the LIFO Inventory Method in a Perpetual

Inventory System $[$LO $7-$S$1]$

Gladstone Company tracks the number of units purchased and sold throughout each accounting perlod but applies its inventory

costing method at the time of each sale, as if it uses a perpetual inventory system. Assume its accounting records provided the

following information at the end of the annual accounting period. December $31.$

Calculate the cost of goods sold and ending inventory for Gladstone Company assuming it applies the LIFO cost method

perpetually at the time of each sale.