Question

Required information 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 an. 1 Beginning inventory Jan. 10 Sales Mar. 14 Purchase Mar. 15 Sales July30 Purchase Oct. 5 Sales Oct. 26 Purchase 250 units @$.12.00 $. 3,000 400 units $17.006,800 450 units $22.00 9,900 150 units $27.004,050 Units Sold at Retail 200 units $42.00 360 units $42.00 420 units $42.00 Totals 1,250 units $23,750 980 units

Answer 1

a
Periodic FIFO	Cost of goods available for sale			Cost of goods sold			Ending inventory
	# of units	Cost per unit	Total	# of units	Cost per unit	Total	# of units	Cost per unit	Total
Beginning inventory	250	12	3000	250	12	3000	0	12	0
Purchases:
March 14	400	17	6800	400	17	6800	0	17	0
July 30	450	22	9900	330	22	7260	120	22	2640
October 26	150	27	4050	0	27	0	150	27	4050
Total	1250		23750	980		17060	270		6690
b
Periodic LIFO	Cost of goods available for sale			Cost of goods sold			Ending inventory
	# of units	Cost per unit	Total	# of units	Cost per unit	Total	# of units	Cost per unit	Total
Beginning inventory	250	12	3000	0	12	0	250	12	3000
Purchases:
March 14	400	17	6800	380	17	6460	20	17	340
July 30	450	22	9900	450	22	9900	0	22	0
October 26	150	27	4050	150	27	4050	0	27	0
Total	1250		23750	980		20410	270		3340
c Gross margin
	FIFO	LIFO
Sales revenue	41160	41160
Cost of goods sold	17060	20410
Gross margin	24100	20750