Required Information [The following information applies to the questions displayed below.] Hemming Co. reported the following current-year purchases and sales for its only product. Date Activities Units Acquired at Cost Units sold at Retail Jan. 1 Beginning inventory 295 units @ $13.80 = $ 4,071 Jan. 10 Sales 240 units @ $43.8 Mar. 14 Purchase 480 units @ $18.89 9,824 Mar. 15 Sales 420 units @ $43.80 July 30 Purchase 495 units $23.89 Oct. 5 Sales 465 units @ $43.80 Oct. 26 Purchase 195 units @ $28.89 5,616 Totals 1,465 units $30,492 1,125 units 11,781 Required: Hemming uses a periodic inventory system. (a) Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. (b) Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. (c) Compute the gross margin for each method. a) Periodic FIFO Cost of Goods Sold Cost of Goods Available for Sale Cost Cost of Goods # of units per unit Available for Sale Ending Inventory # of units Cost Ending in ending inventory per unit Inventory # of units Cost per sold unit Cost of Goods Sold 265 $ 12.50 S 3,313 Beginning inventory Purchases March 14 July 30 October 28 430 $ 17.50 465 $ 22.00 7,525 10,230 Total 1,180 S 21,068 0 S b) Periodic LIFO Cost of Goods Available for Sale Cost of Goods Sold Cost # of units Cost of Goods Available for Sale # of units Cost per sold unit Ending Inventory # of units Cost Ending in ending per unit Inventory inventory Cost of Goods Sold per unit 265 S 12.50 S 3,313 Beginning inventory Purchases: March 14 July 30 October 28 430 S 17.50 465 $ 22.00 7.525 10.230 Total 1,160 S 21.068 0 S 0 0 S 0 c) Gross Margin FIFO LIFO