[The following information applies to the questions displayed below.) Hemming Co. reported the following current-year purchases and sales for its only product. Units Acquired at Cost 280 units @ $13.20 - $ 3,696 Units Sold at Retail 240 units @ $43.20 460 units @ $18.20 - 8,372 Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Mar. 14 Purchase Mar. 15 Sales July 30 Purchase Oct. 5 Sales Oct.26 Purchase Totals 410 units @ $43.20 480 units $23.20 = 11,136 450 units @ $43.20 180 units @ $28.20 1,400 units 5,076 $28,280 1,100 units 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 Ending Inventory Cost of Goods Available for Sale Cost of Goods Sold Cost of Goods # of units Cost per Available for unit Cost of Sale sold unit Goods Sold # of units Cost per Cost # of units in ending Inventory per unit Ending Inventory 280 $ 13.20 $ 3,696 Beginning inventory Purchases: March 14 280 $ 13.20 3,696 460 $18.20 8,372 hulyan a) Periodic FIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units Cost per Cost of Goods # of units Cost per Available for unit sold unit Sale Cost of Goods Sold Cost # of units In ending Inventory Ending Inventory per unit 280 $13.20 $ 3,696 280 $ 13.20 3,696 Beginning Inventory Purchases: March 14 July 30 October 26 Total 460 $ 18.20 480 $ 23.20 180 $ 28,20 1,400 8,372 11,136 5,076 28,280 0 280 $23.20 180 $28.20 260 1,856 5,076 6,932 $ $ 3,696 $ b) Periodic LIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory Cost per #of units unit Cost of Goods Available for Sale # of units Cost per sold unit Cost of Goods Sold #of units in ending Inventory Cost Ending per unit Inventory Beginning inventory Purchases: 280 $ 13.20 $ 3,696 March 14 July 30 460 $ 18.20 480 $23.20 180 $28.20 October 26 8,372 11,136 5,076 28,280 Total 1,400 $ 0 $ 0 $ 0 c) Gross Margin FIFO LIFO b) Periodic LIFO Cost of Goods Available for Sale Cost of Goods Sold Ending Inventory # of units Cost of Goods Cost per # of units Cost per Available for unit Sale sold unit Cost of Goods Sold #of units in ending inventory Cost Ending per unit Inventory 280 $ 13.20 $ 3,696 Beginning inventory Purchases: March 14 460 8,372 11,136 July 30 $18.20 $ 23.20 $28.20 480 180 October 26 Total 5,076 28,280 1,400 $ 0 $ 0 $ 0 c) Gross Margin FIFO LIFO