Saddlery Company sells leather saddles and equipment for horse enthusiasts. Saddlery uses the perpetual inventory system. The following schedule relates to the companys inventory for the month of May:

						Cost		Sales
May 1		Beginning inventory		180 units		$72,000
5		Sale		120 units				$62,400
9		Purchase		60 units		$26,400
13		Purchase		240 units		$115,200
24		Sale		240 units				$134,400
27		Sale		60 units				$38,400
30		Purchase		90 units		$47,520

Calculate Saddlery Companys cost of goods sold, gross margin, and ending inventory using FIFO.

Cost of goods sold		$Enter a dollar amount.
Gross margin		$Enter a dollar amount.
Ending Inventory		$Enter a dollar amount.

eTextbook and Media

Calculate Saddlery Companys cost of goods sold, gross margin, and ending inventory using weighted-average. (Round calculations for cost per unit to 2 decimal places, e.g. 10.52 and final answers to 0 decimal places, e.g. 61,052.)

Cost of goods sold		$Enter a dollar amount rounded to 0 decimal places.
Gross margin		$Enter a dollar amount rounded to 0 decimal places.
Ending Inventory		$Enter a dollar amount rounded to 0 decimal places.

eTextbook and Media

Which cost formula produced the higher gross margin? (Round answers to 2 decimal places, e.g. 61.05%.)

		Gross Margin Ratio
FIFO		Enter percentages rounded to 2 decimal places. %
Weighted-average		Enter percentages rounded to 2 decimal places. %

Select cost formula. FIFOWeighted-average produces the higher gross margin.