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The Bradley Corporation produces a product with the following costs as of July 1, 20X1: Material $5 per unit Labor 3 per unit Overhead 1 per unit Beginning inventory at these costs on July 1 was 3,950 units. From July 1 to December 1, 20X1, Bradley produced 13,900 units. These units had a material cost of $2, labor of $4, and overhead of $2 per unit. Bradley uses LIFO inventory accounting
a. Assuming that Bradley sold 16,800 units during the last six months of the year at $13 each, what is its gross profit?
b. ending inventory value?
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