Kettle Company made the following purcha.ses of Product A in its first year of operations: lo01

b. VVliiih iiioihod woiikl yield the highest animinl of gross margin? Explain why it does.

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Unit Units Cost January 2 1,400 @ $7.40 March 31 1,200 7.00 July 5 2,400 7.60 November 1 1,800 8.00 The ending inventory that year consisted of 2,400 units. Kettle uses periodic inventory procedure. a. Compute the cost of the ending inventory using each of the following methods: (1) FIFO, (2) LIFO, and (3) weighted-average.