Applying and Analyzing Inventory Costing Methods At the beginning of the current period, Chen carried 1,000 units of its product with a unit cost of $15. A summary of purchases during the current period follows. During the period, Chen sold 2,800 units. Units Unit Cost Cost Beginning Inventory 1,000 $15 $15,000 Purchase #1 Purchase #2 Purchase #3 1,800 14 25,200 800 1,200 16 12,800 19 22,800 (a) Assume that Chen uses the first-in, first-out method. Compute both cost of good sold for the current period and the ending inventory balance. Use the financial statement effects template to record cost of goods sold for the period. Ending inventory balance $ Cost of goods sold Use negative signs with answers, when appropriate. Balance Sheet Transaction Cash Asset + Noncash Assets Contributed Earned = Liabilities + Capital + Capital Revenue Record FIFO cost of goods sold Income Statement Net Expenses = Income