Scrappers Supplies tracks the number of units purchased and sold throughout each accounting period but applies its inventory costing method at the end of each period, as if it uses a periodic inventory system. Assume its accounting records provided the following information at the end of the annual accounting period, December $31.$

Transactions Units Unit Cost

Beginning inventory, January $1220$ $ $24$

Transactions during the year:

a$.$ Purchase on account, March $231026$

b$.$ Cash sale, April $1($$$40$ each$)(370)$

c$.$ Purchase on account, June $3027030$

d$.$ Cash sale, August $1($$$40$ each$)(80)$

TIP: Although the purchases and sales are listed in chronological order, Scrappers determines the cost of goods sold after all of the purchases have occurred.

Required:

Compute the cost of goods available for sale, cost of ending inventory, and cost of goods sold at December $31$ under each of the following inventory costing methods: $($Round "Cost per Unit" to $2$ decimal places.$)$

a$.$ Last$-$in$,$ first$-$out.

b$.$ Weighted average cost.

c$.$ First$-$in$,$ first$-$out.

d$.$ Specific identification, assuming that the April $1$ sale was selected one$-$fifth from the beginning inventory and four$-$fifths from the purchase of March $2.$ Assume that the sale of August $1$ was selected from the purchase of June $30.$

Of the four methods, which will result in the highest gross profit? Which will result in the lowest income taxes?