The following information for Dorado Corporation relates to the three-month period ending September 30.

		Units		Price per Unit
Sales		445,000		$	40
Beginning inventory		39,000			22
Purchases		420,000			28
Ending inventory		14,000			?

Dorado expects to purchase 170,000 units of inventory in the fourth quarter of the current calendar year at a cost of $29 per unit, and to have on hand 53,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs.

1. Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30.

2. Prepare journal entries to reflect these amounts.