Hemming Company reported the following current-year purchases and sales for its only product. Date Activities Units Acquired at Cost Units Sold at Retail January 1 Beginning inventory 265 units @ $12.60 = $ 3,339 January 10 Sales 225 units @ $42.60 March 14 Purchase 430 units @ $17.60 = 7,568 March 15 Sales 370 units @ $42.60 July 30 Purchase 465 units @ $22.60 = 10,509 October 5 Sales 440 units @ $42.60 October 26 Purchase 165 units @ $27.60 = 4,554 Totals 1,325 units $ 25,970 1,035 units

Required: Hemming uses a perpetual inventory system. 1. Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. 2. Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. 3. Compute the gross profit for FIFO method and LIFO method.