Problem: Module 2 Textbook Problem 10 Learning Objective: Module 2.7 Show how different inventory cost flow methods (specific identification, FIFO, LIFO, and weighted average) affect financial statements The Shirt Shop had the following transactions for T-shirts for Year 1. its first year of operations Jan. 20 Purchased Apr. 21Purchased July 25 Purchased Sept. 19 Purchased co8 units 150 units 200 units 100 units 58 = $3,200 $10 1,500 512 2,400 1. Gee $14 During the year. The Shirt Shop sold 650 T-shlets for $19 each. Required 1. Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO. (2) LIFO and (3) weighted average b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. Complete this question by entering your answers in the tabs below: Required A Required Compute the amount of ending Inventory The Shirt Shop would report on the balance sheet, assuming the following cost, flow assumptions: (1) FIFO (2) LIFO, and (3) weighted average (Round intermediate calculations to 2 decimal places and final Required * Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost How assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round Intermediate calculations to 2 decimal places and final answers to the nearest whole dollar amount.) FIFO LIFO Weighted Average Ending inventory Required > Complete this question by entering your answers in the tabs below. Required A Required B Compute the difference in grose margin between the FIFO and LIFO cost flow assumptions FIFO LIFO Difference Gross margin