Exercise $5-19$A $($Algo$)$ Effect of inventory cost flow $($FIFO$,$ LIFO, and weighted average$)$ on gross margin

LO $5-6$

The following information pertains to Mason Company for Year $2$:

Ending inventory consisted of $60$ units. Mason sold $410$ units at $$144$ each. All purchases and sales were made with cash. Operating

expenses amounted to $$2900.$

Required

a$.$ Compute the gross margin for Mason Company using the following cost flow assumptions: $(1)$ FIFO, $(2)$ LIFO, and $(3)$ weighted

average.

b$.$ What is the amount of net income using FIFO, LIFO, and weighted average? $($Ignore income tax considerations.$)$

c$.$ Determine the cash flow from operating activities, using each of the three cost flow assumptions listed in Requirement a$.$ Ignore the

effect of income taxes.

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

Required C

Determine the cash flow from operating activities, using each of the three cost flow assumptions listed in Requirement a$.$

Ignore the effect of income taxes. $($Enter cash outflows with a minus sign.$)$