Markham Leathers, a distributor of leather products, uses the FIFO method for valuing inventories. It began August with 50 units of an inventory item that cost $80 each. During August, the store completed these inventory transactions:

Required
1. Prepare a perpetual inventory record for this item.
2. Determine the store's cost of goods sold for August.
3. Compute gross margin for August.

Transcribed Image Text:

Units Unit Cost Unit Sale Price Aug. 3 Sale Purchase Sale Purchase $140 $88 21 70 150 30 10 96