Required information

Exercise 5-19 Effect of inventory cost flow (FIFO, LIFO, and weighted average) on gross margin LO 5-6

[The following information applies to the questions displayed below.]

The following information pertains to Mason Company for 2018:

Beginning inventory	90	units	@	$	20
Units purchased	280	units	@	$	25

Ending inventory consisted of 40 units. Mason sold 330 units at $50 each. All purchases and sales were made with cash. Operating expenses amounted to $4100.

rev: 09_05_2017_QC_CS-97527

Exercise 5-19 Part a

Required

1. Compute the gross margin for Mason Company using the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average.