Homework #4 1 Saved Help Save & Exit Submit Check my work 15 Required information Part 2 of 2 Use the following information for the Exercises 3-7 below. (Algo) [The following information applies to the questions displayed below.] 2.7 points Laker Company reported the following January purchases and sales data for its only product. The Company uses a periodic inventory system. For specific identification, ending inventory consists of 208 units, where 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 23 are from beginning inventory. eBook Units sold at Retail Units Acquired at Cost 144 units @ $6.00 = $ 864 References 96 units @ $15.00 Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase Totals 64 units @ $5.00 = 320 84 units @ $ 15.00 180 units @ $ 4.50 = 810 388 units $1,994 180 units Exercise 5-4 (Algo) Periodic: Gross profit effects of inventory methods LO A1 1. Compute gross profit for the month of January for Laker Company for the four inventory methods. 2. Which method yields the highest gross profit? 3. Does gross profit using weighted average fall between that using FIFO and LIFO? 4. If costs were rising instead of falling, which method would yield the highest gross profit? Book Complete this question by entering your answers in the tabs below. rences Req 1 Req 2 to 4 Compute gross profit for the month of January for Laker Company for the four inventory methods. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollars.) LAKER COMPANY For Month Ended January 31 Specific Weighted Identification Average 2,700 $ 2,700 FIFO LIFO Sales $ $ 2,700 $ 2,700 810 Cost of goods sold Gross profit 1,021 1,679 $ 1,044 1,656 $ 2,700 $ $ 1,890