IFO VALUATION PROBLEM Kinney Company uses a periodic inventory system. At the end of the annual accounting period, December 31, 2016, the accounting records provided the following information for product A: Date Description Units Unit Cost Inventory Value 01/01/2016 03/21/2016 08/15/2016 Beginning Inventory Purchase Purchase 3,000 2,500 4,000 During 2016, the company sold 5,000 units of product A for $20 each. Q33. Compute costs of goods sold (COGS) under FIFO inventory costing method. A. $40,000 B. $39,000 C. $30,000 D. $32,000 E. $35,500 Q34. Compute gross profit under FIFO inventory costing method. A. $60,000 B. $70,000 C. $61,000 D. $68,000 E. $64,500 035. Using the WEIGHTED AVERAGE inventory costing method cost of goods sold (COGS) is closet to. A. $30,000 B. $32,000 C. $35,500 D. $39,000 E. $40,000 Q36. In a period when inventory costs are rising, the FIFO method will most likely result in the highest ending inventory. A. True B. False