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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. Units Acquired at Cost 235 units @ $11.40 = $ 2,679 Units Sold at Retail 170 units @ $41.40 Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Mar. 14 Purchase Mar. 15 Sales July30 Purchase Oct. 5 Sales Oct. 26 Purchase Totals 360 units @ $16.40 = 435 units @ $21.40 = 5,904 9,309 290 units @ $41.40 410 units @ $41.40 135 units @ $26.40 = 1,165 units 3,564 $21,456 870 units Required: Hemming uses a perpetual inventory system. Assume that ending inventory is made up of 65 units from the March 14 purchase, 95 units from the July 30 purchase, and all 135 units from the October 26 purchase. Using the specific identification method, calculate the following. a) Cost of Goods Sold using Specific Identification Available for Sale Cost of Goods Sold Date Activity Units Unit Cost Units Sold Unit Cost COGS $ 11.401 $ 16.40 170 290 $ $ 11.40 16.40 $ 4 1,938 ,756 Jan. 1 Mar. 14 July 30 Oct. 26 Beginning Inventory Purchase Purchase Purchase 235 360 435 135 1,165 Ending Inventory Ending Ending Inventory Unit Cost Inventory Units Cost 65 $ 11.40 $ 741 9 5 $ 16.40 1,558 $ 0.00 $ 0. 00 0 160 $ 2,299 0 6,694 460 $ b) Gross Margin using Specific Identification Less: Equals

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