P7-3 Comparing and Contrasting the Effects of Inventory Costing Methods on Financial Statement Elements LO7-2, 7-3 Neverstop Corporation sells item A as part of its product line information about the beginning inventory, purchases, and sales of item A are given in the following table for the first six months of the current yeac. The company uses a perpetual inveritory system: Required: 1. Compute the cost of ending inventory by using the weighted-average costing method. (Do not round intermediote caiculetions and round the final answer to 2 decimal places.) 2. Compute the gross profit for the first six months of the current year by using the FIFO costing method. (Do not round intermediate calculations and round the final answer to 2 decimal places.) Journal entry worksheet 1 2 3 Record cost of sales on goods sold on account. Note: Enter debits before credits. Assume that because of a clerical error, the ending inventory is reported to be 1,075 units rather than the actual number of units (1175) on hand: 5a. If FIFO is used, calculate the amount of the understatement or overstatement in the cost of sales for the first six months of the current yeaf. 5b. If FIFO is used, caiculate the amount of the understatement or overstatement in the current assets at June 30 of the cuirent year