P$7-2($Algo$)$ Analyzing the Effects of Four Alternative Inventory Methods LO$7-2$

Kirtland Corporation's accounting records showed the following at December $31$:

Transactions Units Unit Cost

Beginning inventory, January $1330$ $$4\mathrm{.}00$

Transactions during the year:

a$.$ Purchase, January $302302\mathrm{.}70$

b$.$ Purchase, May $13905\mathrm{.}00$

c$.$ Sale $($$$6$ each$)(90)$

d$.$ Sale $($$$6$ each$)(630)$

Required:

a$.$ Compute the amount of goods available for sale.

b$.$ & c$.$ Compute the amount of ending inventory and cost of goods sold at December $31$ under each of the four inventory costing methods.

For Specific identification, assume the first sale was $40\%$ from beginning inventory and $60\%$ from the January $30$ purchase. Assume the second sale was from the remainder of the beginning inventory, with the balance from the May $1$ purchase.