Gross margin under FIFOS Gross margin under weighted average cost is $ The Music World carries a large inventory of guitars and other musical instruments. The store uses a perpetual inventory system Company records indicate the following for a particular line of guitars Date Item Quantity Unit Cost Nov. 1 Balance 5 $1,020 6 Sale 3 8 Purchase 11 944 17 Sale 4 30 Purchase 6 944 The moving weighted averago-cost method produces a lower cost of goods sold (and therefore a higher gross margin) because unit inventory costs are decreasing in this scenario While FIFO counts the earlier inventory first, the moving weighted average-cost method uses all inventory on hand in deformining the cost of goods sold The sale price of each guitar was $1,680 EE! (Click the icon to view the cost of goods sold calculation from the FIFO perpetual inventory record.) e 6 944 Gross margin under FIFO is $ . goods sold cald FIFO Perpetual Inventory Record - X prage-cost is $ ist method pro f goods sold cald etual inventory re because unit in Date Quantity Unit Cost Total Cost Nov 6 3 1,020 3,060 method uses a Sic World Store und s. Explain why the hod. 17 2 1,020 2,040 1 888 17 2 944 wer boxes. Total 7 6,988 Print Done w 4 6 944 Gross margin under FIFO is $ ds so Moving-Weighted-Average Cost Perpetual Inventory Recore X posti hod ds sa e un inven Date Quantity Vnit Cost Total Cost Nov. 6. 3 1,020.00 d use orld St 3,060 2,040 4 plain 17 955.69 Total 7 6,883 Boxes Print Done W E