The Shirt Shop had the following transactions for T$-$shirts for Year $1,$ its first year of operations:

During the year, The Shirt Shop sold $650$ T$-$shirts for $$14$ each.

Required

a$.$ Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow

assumptions: $(1)$ FIFO, $(2)$ LIFO, and $(3)$ weighted average.

b$.$ Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions.

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

Compute the difference in gross margin between the FIFO and LIFO cost flow assumptions.