Exercise 5-8 Perpetual: Inventory costing methods-FIFO and LIFO P1 Hemming Co. reported the following current year purchases and sales for its only product. Date Activities Jan 1 Beginning inventory Units Acquired at Cost 200 units $10-$2,000 Units Sold at Retail 150 uns e $40 Jan. 10 Sales Mar. 14 Purchase 350 units o$15 5.250 Mar 15 300 units $40 Sales July 30 Purchase 450 units o$20-9,000 Det 5 Sales 430 units $40 Oct. 26 Purchase Totals 100 units $25- 2.500 1,100 units $18,750 880 units Required Hemming uses a perpetual inventory system. Determine the costs assigned to ending inventory and to cost of goods sold using (a) FIFO and LIFO. (c) Compute the gross profit for each method. CGS FIFO Date Goods Purchased 1/1 1/10 150@40 $6,000 3/14 350@15=5,250 3/15 Inventory Balance (El) 200@10-$2000 50@40 $2000 So@546-2000 10/26 100 25 IFO Gross Margin (Gross Profit) Sales CGS GM or GP