Required information Exercise 5-5 Effect of inventory cost flow on ending inventory balance and gross margin [The following information applies to the questions displayed below.) The Shirt Shop had the following transactions for T-shirts for 2018, its first year of operations: Jan. 20 Apr. 21 July 25 Sept. 19 Purchased Purchased Purchased Purchased 400 units 90 units 250 unita 60 units @ $ 4 - $1,600 @ $5 450 @ $7 - 1,750 @ $ 9- 540 During the year, The Shirt Shop sold 650 T-shirts for $14 each. Exercise 5-5 Part b b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. FIFO LIFO Difference Gross margin