Effect of inventory cost flow on ending inventory balance and gross margin The Shirt Shop had the following transactions for T-shirts for 2016, its first year of operations: During the year. The Shirt Shop sold 810 T-shirts for exist30 each. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO (2) LIFO, and (3) weighted average. Record the above transactions in general journal form and post to T-accounts assuming(1) FIFO, (2) LIFO. and (3) weighted average methods, Use a separate set of journal entries and T- accounts for each method. Assume all transactions. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions