Cost Flow Methods The following three identical units of Item K113 are purchased during April: Item Beta Units Cost Purchase 1 $259 April 2 Purchase 1 262 April 15 Purchase 1 265 April 20 3 $786 Total Average cost per unit $262 ($786 + 3 units) Assume that one unit is sold on April 27 for $348. Determine the gross profit for April and ending inventory on April 30 using the (a) first in, first-out (FIFO); (b) last-in, first-out (LF); and (c) weighted average cost method. Gross Profit Ending Inventory 529 X a. First-in, first gut (FIFO) b. Last-In, first-out (LIFO) c. Weighted average cost Feedback Check My W a Sales - cost of goods sold = gross profit FIFO means that the first units purchased are assumed to be the first to be sold. Therefore, ending inventory is made up of the most recent purchases Nex Check My Work