Montoure Company uses a perpetual inventory system. It entered into the following calendar$-$year purchases and sales transactions.Required:$1.$ Compute cost of goods available for sale and the number of units available for sale.Cost of goods available for saleNumber of units available for saleunits$2.$ Compute the number of units in ending inventory.Ending inventoryunitsMc$3.$ Compute the cost assigned to ending inventory using $($a$)$ FIFO, $($b$)$ LIFO, $($G$)$ weighted average, and $($d$)$ specific identification. $($For specific identification, units sold consist of $540$ units from beginning inventory, $360$ from the February $10$ purchase, $100$ from the March $13$ purchase, $120$ from the August $21$ purchase, and $225$ from the September $5$ purchase.

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k: Inventories and Cost of Sales Problems...

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$4.$ Compute gross profit earned by the company for each of the four costing methods.

Note: Round your average cost per unit to $2$ decimal places.

$5.$ 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?

FIFO

LIFO

Specific Identification

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Montoure Company uses a perpetual inventory system. It entered into the following calendar$-$year purchases and sales transactions.

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Compute cost of goods available for sale and the number of units available for sale.

$\backslash$table$[[$Cost of goods available for sale,,$],[$Number of units available for sale,,units$]]$

Compute the number of units in ending inventory.

Ending Inventory

units

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 $540$ units from beginning inventory, $360$ from the February $10$ purchase, $100$ from the March $13$ purchase, $120$ from the August $21$ purchase, and $225$ from the September $5$ purchase.$)$

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Weighted Average