Required information [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: Jan. 20 Apr. 21 July 25 Sept. 19 Purchased Purchased Purchased Purchased 330 units 140 units 250 units 90 units @ $ 12 - $3,960 @ $ 13 - 1,820 @ $ 14 - 3,500 @ $ 16 - 1,440 During the year, The Shirt Shop sold 630 T-shirts for $21 each. b. Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions. FIFO LIFO Difference Gross margin