Kao Camping Supplies is nearing the end of its first year of operations on October 31, 2020. The company uses a periodic inventory system and made inventory purchases of $176,250 during the year as follows:

January	150	units at $165	=	$24,750
July	600	units at $195	=	117,000
November	150	units at $230	=	34,500
Totals	900			$176,250

Assessing the impact of a year-end purchase of inventoryperiodic system

Without purchase: FIFO gross margin, $268,250

Weighted-average gross margin, $263,125