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Required information [The following information applies to the questions displayed below.] Hemming Co. reported the following current-year purchases and sales for its only product. Date Jan. 1 Beginning inventory Jan. 10 Sales Mar. 14 Purchase Activities Mar.15 Sales July 30 Purchase Oct. 5 Sales Oct.26 Purchase Totals Required: Hemming uses a periodic inventory system. Total a) Periodic FIFO Beginning inventory Purchases: March 14 July 30 October 26 # of units Units Acquired at Cost 220 units @ $10.80 = $ 2,376 330 units @ $15.80 = 5,214 420 units @ $20.80 120 units @ $25.80 1,090 units Cost of Goods Available for Sale Cost of Goods Available for Sale 0 Cost per unit (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. $ 0 8,736 3,096 $19,422 # of units sold 0 Units Sold at Retail 190 units @ $40.80 Cost per unit 280 units @ $40.80 390 units @ $40.80 Cost of Goods Sold 860 units Cost of Goods Sold $ 0 Ending Inventory # of units in ending inventory Cost per unit Ending Inventory 0

Required information [The following information applies to the questions displayed below.] Hemming Co, reported the following current-year purchases and sales for its only product. Required: Hemming uses a periodic 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. \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|} \hline \multirow[t]{2}{*}{ a) Periodic FIFO } & \multicolumn{3}{|c|}{ Cost of Goods Available for Sale } & \multicolumn{3}{|c|}{ Cost of Goods Sold } & \multicolumn{3}{|c|}{ Ending Inventory } \\ \hline & # of units & Costperunit & CostofGoodsAvaliableforSale & IIofunitssold & Costperunit & CostofGoodsSold & #ofunitsinendinginventory & Costperunit & EndingInventory \\ \hline \multicolumn{10}{|l|}{ Beginning inventory } \\ \hline \multicolumn{10}{|l|}{ Purchases: } \\ \hline \multicolumn{10}{|l|}{ March 14} \\ \hline \multicolumn{10}{|l|}{ July 30} \\ \hline \multicolumn{10}{|l|}{ October 26} \\ \hline Total & 0 & & $ & 0 & & 0 & 0 & & 5 \\ \hline \multirow[t]{2}{*}{ b) Periodic LIFO } & \multicolumn{3}{|c|}{ Cost of Goods Avallable for Sale } & \multicolumn{3}{|c|}{ Cost of Goods Sold } & \multicolumn{3}{|c|}{ Ending Inventory } \\ \hline & # of units & Costperunit & CostofGoodsAvaliableforSale & #ofunitssold & Costperunit & CostofGoodsSold & #ofunitsinendingInventory & Costperunit & EndingInventory \\ \hline \multicolumn{10}{|l|}{ Beginning inventory } \\ \hline \multicolumn{10}{|l|}{ Purchasos: } \\ \hline \multicolumn{10}{|l|}{ March 14} \\ \hline July 30 & & & & & & & & & \\ \hline \multicolumn{10}{|l|}{ October 26} \\ \hline Total & 0 & & $ & 0 & & $ & 0 & & 3 \\ \hline c) Gross Margin & FIFO & LIFO & & & & & & & \\ \hline & & & & & & & & & \\ \hline & & & & & & & & & \\ \hline & & & & & & & & & \\ \hline \end{tabular}

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