Use the following information for the Exercises below.

[The following information applies to the questions displayed below.] Hemming Co. reported 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

280

units

@ $13.20

=

$

3,696

Jan.

10

Sales

240

units

@ $43.20

Mar.

14

Purchase

460

units

@ $18.20

=

8,372

Mar.

15

Sales

410

units

@ $43.20

July

30

Purchase

480

units

@ $23.20

=

11,136

Oct.

5

Sales

450

units

@ $43.20

Oct.

26

Purchase

180

units

@ $28.20

=

5,076

Totals

1,400

units

$

28,280

1,100

units

Exercise 5-7 Perpetual: Inventory costing methods-FIFO and LIFO LO P1

Required: Hemming uses a perpetual inventory system. 1. Determine the costs assigned to ending inventory and to cost of goods sold using FIFO. 2. Determine the costs assigned to ending inventory and to cost of goods sold using LIFO. 3. Compute the gross margin for FIFO method and LIFO method.