Required information

Use the following information for the Exercises 8-10 below. (Algo)

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[The following information applies to the questions displayed below.] Hemming Company reported the following current-year purchases and sales for its only product.

Date	Activities	Units Acquired at Cost					Units Sold at Retail
January 1	Beginning inventory	220	units	@ $10.80	=	$ 2,376
January 10	Sales						190	units	@ $40.80
March 14	Purchase	330	units	@ $15.80	=	5,214
March 15	Sales						280	units	@ $40.80
July 30	Purchase	420	units	@ $20.80	=	8,736
October 5	Sales						390	units	@ $40.80
October 26	Purchase	120	units	@ $25.80	=	3,096
	Totals	1,090	units			$ 19,422	860	units

Exercise 5-9 (Algo) Specific identification LO P1

Ending inventory consists of 40 units from the March 14 purchase, 70 units from the July 30 purchase, and all 120 units from the October 26 purchase. Using the specific identification method, calculate the following.

Cost of Goods Sold a) Cost of Goods Sold using Specific Identification Available for Sale Date Activity # of units Ending Inventory Cost Per Unit # of units sold Cost Per Unit COGS Ending Inventory Units Cost Per Unit Ending Inventory Cost January 1 March 14 July 30 October 26 Beginning Inventory Purchase Purchase Purchase 220 330 420 120 1,090 b) Gross Margin using Specific Identification Less: Equals