Lunar Company uses a periodic inventory system. The companys accounting records provided the following information for Product 2:

Transactions		Units			Unit Cost
a.	Inventory, December 31, 2013		3,000		$	12
For the year 2014:
b.	Purchase, April 11		9,000			10
c.	Sale, May 1 ($30 each)		5,000
d.	Purchase, June 1		8,000			13
e.	Sale, July 3 ($30 each)		6,000
f.	Operating expenses (excluding income tax expense), $85,000

Required:
1.	Prepare a statement of earnings for 2014, through pretax earnings, showing the detailed computation of cost of sales for two cases:
	a. Case AFIFO.
	b. Case BWeighted average. 2.Calculate the pretax earnings and the ending inventory amounts between the two cases 3.Prepare journal entries to record transactions (b) through (f), as well as the cost of sales at December 31, 2014, assuming that Lunar uses FIFO for inventory costing.