4. Assume that Models and More store bought and sold a line of dolls during December as follows: (Click the icon to view the transactions.) Models and More uses the perpetual inventory system. Read the requirements.? Requirement 1. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the FIFO inventory costing method. Total Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.) Purchases Cost of Goods Sold Inventory on Hand Unit Total Unit Total Unit Date Quantity Cost Cost Quantity Cost Cost Quantity | Cost Cost Dec. 1 Dec. 8 Dec. 140C C Dec. 21 L Totals IN IN Compute the gross profit using the using the FIFO inventory costing method. Gross profit is $ L u sing the FIFO inventory costing method. Requirement 2. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the LIFO inventory costing method. Print Begin by computing the cost of goods sold and cost of ending merchandise inventory using the LIFO inventory costing method. Enter the transactions in chronological order, calculating new inventory on hand balances after each transaction. Once all of the transactions have been entered into the perpetual record, calculate the quantity and total cost of merchandise inventory purchased, sold, and on hand at the end of the period. (Enter the oldest inventory layers first.) Purchases Unit Cost of Goods Sold Total Quantity Cost Cost Total Cost Unit Inventory on Hand Unit Total | Quantity Cost Cost Date Quantity Cost Dec. 1 Dec. 8 Dec. 14 Dec. 21 Totals Compute the gross profit using the using the LIFO inventory costing method. Gross profit is $ U u sing the LIFO inventory costing method. Requirement 3. Which method results in a higher cost of goods sold? The method with the higher cost of goods sold is (1) - Requirement 4. Which method results in a higher cost of ending merchandise inventory? The method with the higher cost of ending merchandise inventory is (2) Requirement 5. Which method results in a higher gross profit? The method with the higher gross profit is (3). 1: More Info Dec. 1 Beginning merchandise inventory 8 Sale 14 9 17 15 units @ $ 9 each units @ $ 20 each units @ $ 15 each units @ $ 20 each 14 Purchase 21 Sale 2: Requirements 1. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the FIFO inventory costing method 2. Compute the cost of goods sold, cost of ending merchandise inventory, and gross profit using the LIFO inventory costing method. 3. Which method results in a higher cost of goods sold? 4. Which method results in a higher cost of ending merchandise inventory? 5. Which method results in a higher gross profit? (1) O FIFO. OLIFO. O neither, they are equal. (2) O FIFO OLIFO. O neither, they are equal. (3) O FIFO. OLIFO O neither, they are equal