Required information Exercise 5-5 (Algo) Effect of inventory cost flow on ending inventory balance and gross...
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Required information Exercise 5-5 (Algo) Effect of inventory cost flow on ending inventory balance and gross margin LO 5-1 [The following information applies to the questions displayed below.) The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations: January 201 April 21 Purchased 400 units @ $8= Purchased 150 units @ $10 = $ 3,200 1,500 July 25 Purchased 200 units @ $12 = 2,400 September 19 Purchased 100 units @ $14= 1,400 During the year, The Shirt Shop sold 650 T-shirts for $19 each. Exercise 5-5 (Algo) Part b b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. Gross margin FIFO LIFO Difference Checke Required information Exercise 5-5 (Algo) Effect of inventory cost flow on ending inventory balance and gross margin LO 5-1 [The following information applies to the questions displayed below.) The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations: January 201 April 21 Purchased 400 units @ $8= Purchased 150 units @ $10 = $ 3,200 1,500 July 25 Purchased 200 units @ $12 = 2,400 September 19 Purchased 100 units @ $14= 1,400 During the year, The Shirt Shop sold 650 T-shirts for $19 each. Exercise 5-5 (Algo) Part b b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. Gross margin FIFO LIFO Difference Checke
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