Montoure Company uses a perpetual inventory system. It entered into the following calendar-year purchases and sales transactions. Date January 1 Units Sold at Retail Activities Beginning inventory February 10 Purchase March 13 Purchase March 15 Sales August 21 Purchase September 5 Purchase September 10. Sales Totals Required: Units Acquired at Cost 580 units $40 per unit 420 units 180 units $38 per unit $25 per unit 755 units $70 per unit 190 units 560 units $45 per unit $41 per unit 750 units $70 per unit 1,930 units 1,505 units 1. Compute cost of goods available for sale and the number of units available for sale. Cost of goods available for sale $ 75,170 Number of units available for sale 1,930 units 2. Compute the number of units in ending inventory. Ending inventory 425 units 3. Compute the cost assigned to ending inventory using (a) FIFO, (b) LIFO, (c) weighted average, and (d) specific identification. (For specific identification, units sold consist of 580 units from beginning inventory, 320 from the February 10 purchase, 180 from the March 13 purchase, 140 from the August 21 purchase, and 285 from the September 5 purchase.) Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using FIFO. (Round your average cost per unit to 2 decimal places.) Perpetual FIFO: Cost of Goods Sold Goods Purchased Date # of units Cost per unit # of units sold Cost per unit Cost of Goods Sold # of units January 1 February 10 Total February 10 180 at $25.00 580 at Inventory Balance Inventory Balance Cost per unit $40.00 $ 23,200.00 420 at $38.00 1,000 at 1,100 at $40.00 = $38.00 $ 40,000.00 41,800.00 March 13 $ 81,800.00 at $40.00 = at $38.00 at $25.00 Total March 13 March 15 Total March 15 August 211 Total August 21 September 5 Total September 5 September 10 Total September 10 Totals 190 at $45.00 560 at $41.00 at $40.00 $38.00 $ 0.00 at 0.00 at at $25.00 0.00 at $ 0.00 Perpetual FIFO at $45.00 0.00 at $45.00 = 0.00 at $41.00 = 0.00 $ 0.00 Perpetual LIFO 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) FIFO LIFO Weighted Average Specific Identification Sales Less: Cost of goods sold Gross profit $ 0 $ 0 $ 0 $ 0 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? Specific Identification O Weighted Average O LIFO O FIFO Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using LIFO. (Round your average cost per unit to 2 decimal places.) Perpetual LIFO: Goods Purchased Cost of Goods Sold Date # of units Cost per unit # of units sold Cost per unit Cost of Goods Sold # of units Cost per unit Inventory Balance Inventory Balance 580 at $40.00 $ 23,200.00 January 11 February 10 Total February 10 March 13 Total March 13 March 15 Total March 15 August 21 Total August 21 September 5 Total September 5 September 10 Total September 10 Totals < Perpetual FIFO 0.00 $ 0.00 Weighted Average > 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) FIFO LIFO Weighted Average Specific Identification Sales Less: Cost of goods sold Gross profit $ 0 $ 0 $ 0 $ 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? O Specific Identification O Weighted Average O LIFO O FIFO Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using weighted average. (Round your average cost per unit to 2 decimal places.) January 1 Weighted Average Perpetual: Inventory Balance Goods Purchased Cost of Goods Sold Date # of units Cost per unit # of units sold Cost per unit Cost of Goods Sold # of units 580 at Cost per unit Inventory Balance $40.00 = $23.200.00 February 10 Average February 10 March 13 Average March 13 March 15 August 21 Average August 21 September 5 Average September 5 September 10 Totals 0.00 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) FIFO LIFO Weighted Average Specific Identification Sales Less: Cost of goods sold Gross profit $ 0 $ 0 $ 0 $ 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? Specific Identification Weighted Average O LIFO O FIFO Perpetual FIFO Perpetual LIFO Weighted Average Specific Id Compute the cost assigned to ending inventory using specific identification. (For specific identification, units sold consist of 580 units from beginning inventory, 320 from the February 10 purchase, 180 from the March 13 purchase, 140 from the August 21 purchase, and 285 from the September 5 purchase.) Specific Identification Goods Available for Sale Cost of Goods Sold Ending Inventory Date # of units Cost per Cost of Goods Available for unit # of units Cost per sold unit Cost of Goods Sold Sale # of units in ending inventory Cost per unit Ending Inventory January 1 February 10 $ 0 $ 0.00 $ 0 0.00 0 0 0.00 0 0.00 0 March 13 0 0.00 0 0.00 0 August 21 0 0.00 0 0.00 0 September 5 0 0.00 0 Total $ 0 D $ 0 < Weighted Average $ 0 Specific id 4. Compute gross profit earned by the company for each of the four costing methods. (Round your average cost per unit to 2 decimal places.) Sales Less: Cost of goods sold Gross profit FIFO LIFO Weighted Average Specific Identification $ 0 $ 0 $ 0 $ 5. The company's manager earns a bonus based on a percent of gross profit. Which method of inventory costing produces the highest bonus for the manager? Specific Identification O Weighted Average O LIFO O FIFO