Reasoner Sailing Company sells boats as a supplement to its boat storage operations. Data for its boat sales for August 2016 are given below. The beginning inventory on August 1 was composed of the following tems Cost Retail $40,000 68,000 21,500 43,000 26,000 S 28,000 28' Starfish 30' Perch 24" Sea King 30 Holiday 20' Lake King 48.000 17,500 37,500 19,500 Sales during the month were the 30' Holiday and the 20 Lake King, sold at the retail values shown on August 1 1. Based on the above data, what is the best method of valuing the ending inventory? O LIFO method FIFO method Specific Identification 2 & 3. Determine the value of Reasoner Sailing Company's cost of goods sold and ending inventory of items that were brought over from the beginning inventory using this method. Assume that the company's retail values had not changed Cost of Sold Ending Date Item Goods Inventory Cost 28,000 48,000 01-Aug 28 ft. Starfish 30 ft. Perch 24 ft. Sea King 30 ft. Holiday 20 ft. Lake King 17,500 37,500 19,500 S 57,000 S 93,500 Analyze What is the estimated gross profit on sales for August? Gross profit