E€™s Diamond Shop is computing its inventory and cost of goods sold for November 2012. At the beginning of the month, these items were in stock:

During the month, the shop purchased four type A rings at $600, two type B rings at $450, and five type C rings at $300 and made the following sales:

Because of the high cost per item, E€™s Diamond Shop uses specific identification inventory costing.
1. Calculate the cost of goods sold and ending inventory balances for November.
2. Calculate the gross margin for themonth.

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Quantity CTotal 2 Ring A. Ring A Ring B Ring B Ring B. Ring C Ring C.. 8 $600 4,800 6,500 1,500 2,100 1,350 200 ,400 250 2,000 $19,650 10 650 300 450 Ring Type Quantity Sold Price Cost $1,000 600 1,050 600 1,200 650 850 450 800 350 450 200 500 250 550 250