LIFO and FIFO The inventory of the Shenandoah Gravel Company on June 30 shows 1,000 tons at $9 per ton. A phys- ical inventory on July 31 shows a total of 1,100 tons on hand. Revenue from sales of gravel for July totals $102,000. The following purchases were made during July: July 8 July 13 July 22 5,000 tons $10 per ton 1,000 tons $11 per ton 900 tons $12 per ton 1. Compute the inventory cost as of July 31 using

(a) LIFO and

(b) FIFO. 2. Compute the gross profit using each method.