MASTERY PROBLEM ,250Hurst Company's beginning inventory and purchases during the fiscal year end December 31, 20-2, were as follows: Units 1,500 500 Unit Price Total Cost January 1, 20-2 January 12 February 28 June 29 August 31 October 29 November 30 December 2:1 Beginning inventory 1st purchase 2nd purchase 3rd purchase 4th purchase 5th purchase 6th purchase 7th purchase $10.00 $15,000 5,750 8,700 15.00 18,000 16.50 13,200 5,400 18.50 12,950 8,000 $87,000 11.50 14.50 1,200 800 300 18.00 400 20.00 There are 1,200 units of inventory on hand on December 31, 20-2. REQUIRED and 1. Calculate the total amount to be assigned to the cost of goods sold for 20-2 ending inventory on December 31 under each of the following periodic inventor methods: (a) FIFO (b) LIFO (c) Weighted-average (round calculations to two decimal places) (continued) for a Mercha 2. Assume that the market price per unit (cost to replace) of Hurst's inventory on mber 31 was $18. Calculate the total amount to be assigned to the ending inventory on December 31 under each of the following methods: (a) FIFO lower-of-cost-or-market (b) Weighted-average lower-of-cost-or-market 3. In addition to taking a physical inventory on December 31, Hurst decides to estimate the ending inventory and cost of goods sold. During the fiscal year ended December 31, 20-2, net sales of $100,000 were made at a normal gross profit rate of 35%. Use the gross profit method to estimate the cost of goods sold for the fiscal year ended December 31 and the inventory on December 31 CHALLENGE