Assume that R Toys store bought and sold a line of dolls during December as follows: Click the icon to view the transactions RB Toys uses the perpetual inventory system Read the requirements Requirement 1. Compute the cost of goods sold cost of ending merchandisewentory and gross profit using the FIFO inventory costing method Begin by computing the cost of goods sold and cost of ending merchandise inventory using the FIFO inventory costing method. Enter the transactions in conclogical order alcung new inventory on hand balances arter cach transaction. Once all of the transactions have been entered into the perpetual record out 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 Total Date Quantity Cost Cost Quantity Cost Cost Quantity Cost Cost Dec. 1 Dec. 8 Dec. 14 Dec. 21 Totals Compute the gross profit using the using the FIFO inventory costing method. Gross profit is using the FIFO inventory costing method. Requirement 2. Compute the cost of goods sold, cotofending merchandise inventory and gross profit using the LIFO inventory cosing method Begin by computing the cost of goods sold and cost ofanding merchandise inventory using the LIFO inventory costing method Enter the transactions in chronological order, calling new inventory on and ances after each transaction Once all of the transactions have been entered into the perpetrecord, 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.) Inventory on Hand Purchases Total Unit Cost Cost of Goods Sold Unit Total Quantity Cost Cost Cost Quantity Date Cost Quantity Dec 12 Enter any number in the edit fields and then continue to the next question. Purchases Unit Cost Total Cost Cost of Goods Sold Unit Total Quantity Cost Cost Inventory on Hand Unit Total Quantity Cost Quantity Cost Date Dec. 1 Dec. 8 Dec. 14 Dec. 21 Totals Compute the gross profit using the using the LIFO inventory costing method. Gross profit is $ using 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 Requirement 4. Which method results in a higher antory? The method with the higher cost of ending merche FIFO. LIFO Requirement 5. Which method results in a higher The method with the higher gross profit is commumhor in the natio finite and then an oborin the field than entine to the novosti Requirement 3. Which method results in a higher cost of goods sold? The method with the higher cost of goods sold is Requirement 4. Which method results in a higher cost of ending merchandise inventory? The method with the higher cost of ending merchandise inventory is Requirement 5. Which method results in a higher gross profit? FIFO. The method with the higher gross profit is LIFO neither, they are equal. Enter any number in the edit fields and then continue to the next The method with the higher cost of goods sold is Requirement 4. Which method results in a ise inventory? FIFO. The method with the higher cost of ending LIFO. Requirement 5. Which method results in a neither, they are equal. The method with the higher gross profit is Requirements * More Info Dec. 1 Beginning merchandise inventory 8 Sale 14 8 16 14 units @ $ 10 each units @ $ 21 each units @ $ 14 each units @ $ 21 each 1. Compute the cost of goods sold, cost of ending merchandise inventory, and gross proft 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? 14 Purchase 21 Sale The Print Done Print Done Requirement 5. Which method results in a higher gross profit? The method with the higher gross profit is