Tree Seedlings has the following current-year purchases and sales for its only product. Date Activities Units Acquired at Cost Units Sold at Retail Jan. 1 Beginning inventory 200 units @ $2 = $ 400 Jan. 3 Sales 126 units @ $8 Feb. 14 Purchase 318 units @ $3 = $ 954 Feb. 15 Sales 220 units @ $8 June 30 Purchase 250 units @ $4 = $ 1,000 Nov. 6 Sales 182 units @ $8 Nov. 19 Purchase 84 units @ $5 = $ 420 Totals 852 units $ 2,774 528 units Required: The company uses a perpetual 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.

Tree Seedlings has the following current-year purchases and sales for its only product. Units Sold at Retail Date Activities Jan. 1 Beginning inventory Jan. 3 Sales Feb. 14 Purchase Feb. 15 Sales June 30 Purchase Nov. 6 Sales Nov. 19 Purchase Totals Units Acquired at Cost 200 units @ $2 = $ 400 318 units @ $3 = $ 954 250 units @ $4 = $1,000 126 units @ $8 220 units @ $8 182 units @ $8 84 units @ $5 852 units $ 420 $2,774 528 units Required: The company uses a perpetual 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