Ontario Skateboard Company has the following inventory and purchases during the fiscal year ended Decem-ber 31, 2020.

Beginning inventory .................................................... 295 units @ $83/unit March 10 purchased ................................................... 210 units @ $87/unit March 20 sold ............................................................... 375 units @ $163/unit May 13 purchased ....................................................... 277 units @ $81/unit August 5 purchased .................................................... 260 units @ $67/unit September 10 sold ...................................................... 515 units @ $163/unit

Ontario Skateboard Company employs a perpetual inventory system. Required 1. Calculate the dollar value of ending inventory and cost of goods sold using: a. FIFO b. Moving weighted average. Round all unit costs to two decimal places. 2. Using your calculations from Part 1, complete the following schedule:

IFO

Sales .......................................................................................... Cost of goods sold................................................................. Gross profit ..............................................................................

Analysis Component: How would the gross profits calculated in Part 2 above change if Ontario Skateboard Company had been experiencing increasing prices in the acquisition of additional inventory?