LO8-1PROBLEM8.1AtourMethodsofInventoryfollowingcostlayers.OnJanuary15,2021,SportsWorldsold1.000Ace-5fishingreelstoAnglersWarehouse.Immediatelypriortothissale,SportsWorldperpetualinventoryrecordsforAce-5reelsincluded valuation Instructions Note: We present this problem in the normal sequence of the accounting cycle-that is, journal entries before ledger entries. However, you may find it helpful to work part b first. a. Prepare a separate journal entry to record the cost of goods sold relating to the January 15 sale of 1,000 Ace- 5 reels, assuming that Sports World uses 1. Specific identification ( 500 of the units sold were purchased on December 12 , and the remaining 500 were purchased on January 9 ). 2. Average cost. 3. FIFO. 4. LIFO. b. Complete a subsidiary ledger record for Ace- 5 reels using each of the four inventory valuation methods listed. Your inventory records should show both purchases of this product, the sale on January 15, and the balance on hand at December 12, January 9 , and January 15. Use the formats for inventory subsidiary records illustrated on Exhibits 8-3 through 85 of this chapter. LO8-1PROBLEM8.1AtourMethodsofInventoryfollowingcostlayers.OnJanuary15,2021,SportsWorldsold1.000Ace-5fishingreelstoAnglersWarehouse.Immediatelypriortothissale,SportsWorldperpetualinventoryrecordsforAce-5reelsincluded valuation Instructions Note: We present this problem in the normal sequence of the accounting cycle-that is, journal entries before ledger entries. However, you may find it helpful to work part b first. a. Prepare a separate journal entry to record the cost of goods sold relating to the January 15 sale of 1,000 Ace- 5 reels, assuming that Sports World uses 1. Specific identification ( 500 of the units sold were purchased on December 12 , and the remaining 500 were purchased on January 9 ). 2. Average cost. 3. FIFO. 4. LIFO. b. Complete a subsidiary ledger record for Ace- 5 reels using each of the four inventory valuation methods listed. Your inventory records should show both purchases of this product, the sale on January 15, and the balance on hand at December 12, January 9 , and January 15. Use the formats for inventory subsidiary records illustrated on Exhibits 8-3 through 85 of this chapter