The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations: Jan. 20 Purchased 400 units $ 4 = $1,600 Apr. 21 July 25 Purchased 90 units @ $ 5 = 450 Sept. 19 Purchased Purchased 250 units @ $ 7 = 1,750 60 units $ 9 = 540 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.