5 Book Hint Print Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Hemming Co. reported the following current-year purchases and sales for its only product. Date Activities Jan. 1 Beginning inventory Jan.10 Sales Mar.14 Purchase Mar.15 Sales July30 Purchase Oct. 5 Sales Oct.26 Purchase Totals 200 units $29.00 - 1,520 units Units Acquired at Cost 300 units $14.00 $4,200 520 units @ $19.00- 9,880 500 units @ $24.00 12,000 5,800 $31,880 1,190 units Units Sold at Retail 250 units $44.00 460 units @ $44.00 480 units @ $44.00 eferences Exercise 5-7 Perpetual: Inventory costing methods-FIFO and LIFO LO P1 Required: Hemming uses a perpetual inventory system. 1. Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. 2. Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. 3. Compute the gross margin for FIFO method and LIFO method. inces Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. Perpetual FIFO: Goods Purchased Cost of Goods Sold Date # of units Cost per unit # of units sold Cost per Cost of Goods Sold unit # of units unit January 11 300 @ Inventory Balance Cost per $14.00= $ 4,200.00 Inventory Balance January 10 250 @ $14.00 = $ 3,500.00 250 @ March 14 520 @ $19.00 520 @ $ 14.00 = $ 14.00= $ 3,500.00 $ 7,280.00 March 15 + @ $14.00 $ 0.00 @ $19.00 = 0.00 @ @ $ 19.00 $ 7,280.00 July 30 October 5 October 26 Totals $ 3,500.00 Required 1 Required 2 > es Required 1 Required 2 Required 3 Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. Perpetual LIFO: Goods Purchased Cost of Goods Sold # of Date units Cost per unit # of units sold Cost per unit Cost of Goods Sold # of units Inventory Balance Cost per Inventory unit Balance 300 @ $14.00 = $ 4,200.00 January 1 January 10 March 14 March 15 July 30 October 5 October 261 Totals $ 0.00 Required 3 > < Required 1 Compute the gross margin for FIFO method and LIFO method. Sales revenue Less: Cost of goods sold Gross margin FIFO: LIFO