FIFO	LIFO
Gross Profit

Suppose a Robak store in Greendale,Missouri, ended September 2016 with 500,000 units of merchandise that cost $10 each. Suppose the store then sold 90,000 units for $910,000 during October. Further, assume the store made two large purchases during October as follows:

October 10 55,000 units @ $8.10 = $445,500

28 25,000 units @ $7.20 = $180,000

Requirements

1. Calculate the store's gross profit under both FIFO and LIFO at October.

2. What caused the FIFO and LIFO gross profit figures to differ?

Requirement 1. Calculate the stores gross profit under both FIFO and LIFO at October 31. Chart above^^^^