Assume that Toys Galore store bought and sold a line of dolls during December as follows: (Click the icon to view the transactions) Toys Galore 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 FFO 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 ansactions in chronological order, calculating new Eventory 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 and 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 Assume that Toys Galore More bought and sold a line of dols during December as follows: (Click the icon to view the transactions.) Toys Galore uses the perpetual inventory system Read the girements Cost of Goods Sold Requirements Purchases Unit Cost Total Unit Total Cost Inventory on Hand Unit Total Quantity Cost Cost Date Quantity Cont Quantity Cost Dec. 1 Dec. 8 De 14 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 agher cost of goods sold? 4. Which method results in a higher cost of ending merchandise Inventory 5. Which method resus in a higher gross profit? Doc. 21 Total Print Done More Info - X 13 Dec. 1 Beginning merchandise inventory 8 Sale 8 units @ $ 9 each units @ $ 22 each units @ $ 14 each units @ $ 22 each 14 Purchase 16 21 Sale 14 Print Done