The following table summarizes the inventory movement for Seinfeld & Fleming Inc. ("S&F"), during its most recent fiscal year ending December 31. S&F is a retail business that uses a perpetual inventory system and sells one product: beltless trench-coats.

Date Transaction Units Unit Cost Unit Price Jan 1 Beginning inventory 500 $23 Jan 13 Purchase 1000 28 Feb 6 Sale 700 $48 Apr 7 Purchase 500 29 Apr 10 Returned items purchased Apr 7 100 Jul 5 Sale 900 55 Oct 22 Purchase 300 31 Required:

a) Assume that S&F uses the FIFO inventory costing method. Calculate the following (round your answers to nearest dollar):

Cost of goods sold - February 6: Blank 1. Calculate the answer by read surrounding text. Cost of goods sold - July 5: Blank 2. Calculate the answer by read surrounding text. Ending inventory: Blank 3. Calculate the answer by read surrounding text. b) Assume that S&F uses the (weighted) average costing method. Calculate the following (round to nearest dollar):

Cost of goods sold - February 6: Blank 4. Calculate the answer by read surrounding text. Cost of goods sold - July 5: Blank 5. Calculate the answer by read surrounding text. Which method produces the highest net income? Enter 0 for FIFO and 1 for average cost: Blank 6. Calculate the answer by read surrounding text.

c) Now, assume that S&F has a periodic inventory system and uses the FIFO method for inventory costing. Complete the following partial income statement for the year ending December 31 (round all amounts to the nearest dollar).

Sales revenue Blank 7. Calculate the answer by read surrounding text. Cost of goods sold Blank 8. Calculate the answer by read surrounding text. Gross profit Blank 9. Calculate the answer by read surrounding text.