Exercise 5-9A Periodic: Inventory costing system LO P3

Required information Use the following information for the Exercises below [The following information applies to the questions displayed below. Hemming Co. reported the following current-year purchases and sales for its only product. Units Sold at Activities Units Acquired at Cost Date Retail 150 unitse $40 300 units e $40 430 unitse $40 Jan. Beginning inventory Jan.10 Sales Mar.14 Purchase Mar.15 Saless July 30 Purchase Oct. 5 Saless Oct. 26 Purchase 200 units $10- 2,000 350 units $15-5,250 450 units $20-9,000 100 unitsl $252.500 1,100 units $18,750 880 units Totals Exercise 5-9A Periodic: Inventory costing system LO P3 Required Hemming uses a periodic inventory system (a) Determine the costs assigned to ending inventory and to cost of goods sold using FIFO (b) Determine the costs assigned to ending inventory and to cost of goods sold using LIFO (c) Compute the gross margin for each method a) Periodic FIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units | Cost Cost per Cost of Goods Cost of Cost of in ending per unit Inventory Ending # of units | | Available for | # of units | Cost per | sold unit Goods Sold unit Sale inventory Beginning inventory Purchases: March 14 July 30 October 26 Total b) Periodic LIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units | Cost Cost per Cost of Goods Cost of Cost of in ending per unit Inventory Ending # of units | | Available for | # of units | Cost per | sold unit Goods Sold unit Sale inventory Beginning inventory Purchases: March 14 July 30 October 26 Total c) Gross Margin FIFO LIFO