3. Jill Hansen owns Interior Designs, a furniture store. One of her most popular items is a leather recliner. Following is the recliner inventory activity for August. The recliners on hand at August 1 had a unit cost of $280. Purchases Sales Units on Date Balance fwd 80 200 60 240 130 8/4 8/20 8/25 8/29 120 units$300 140 units $510 180 units @ $340 Required 1) If Interior Designs uses the first-in, first-out (FIFO) inventory method and periodic approach, what values would be assigned to ending inventory, cost of goods sold and gross profit? 2) If Interior Designs uses the last-in, first-out (LIFO) inventory method and periodic approach, what values would be assigned to ending inventory, cost of goods sold and gross profit? 3) If Interior Designs uses the weighted-average inventory method and periodic approach, what values would be assigned to ending inventory, cost of goods sold and gross profit? 4. Maverick Equipment Rental was burglarized on 2/15/15. It is unclear how many items were stolen. Maverick and its insurance company are currently working to estimate the dollar value of the stolen goods in order to reach a financial settlement under the existing property insurance policy Maverick' s tax return prepared at the end of 2014 revealed that the ended 2014 with a total inventory of $600,000. Maverick uses the same inventory account methods for tax and accounting purposes The insurance company has contacted Maverick's suppliers and confirmed Maverick's claim that purchases for 2015, prior to the date of the burglary, were $1,200,000. All inventory was purchased, FOB destination. 2015 sales taxes collected by Maverick and remitted to the state, prior to the date of the theft, were $135,000. The sales tax rate is 7% of sales. An inventory was taken immediately after the burglary and the cost of equipment in stock was $370,000 Maverick consistently sells equipment at a gross proft margin of 30% Page 2 of 3 Required: Use the gross profit method to estimate the dollar value of stolen property