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

Jan. 20 Purchased 440 units @ $ 8 = $ 3,520

Apr. 21 Purchased 240 units @ $ 10 = 2,400

July 25 Purchased 320 units @ $ 13 = 4,160

Sept. 19 Purchased 130 units @ $ 15 = 1,950

During the year, The Shirt Shop sold 930 T-shirts for $24 each.

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