The Bradley Corporation produces a product with the following costs as of July 1, 20X1:
Material $3 per unit
Labor $3 per unit
Overhead $1 per unit
Beginning Inventory at these costs on July 1 was 3100 units. From July 1 to Dec 1, 20X1, Bradley produced 12,200 units. These units had a material cost of $2, labor of $3, and overhead of $4 per unit. Bradley uses LIFO inventory accounting.
Question 1) Assuming that Bradley sold 13,400 units during the last 6 months of the year at $14 each, What is its Gross Profit?
Question 2) What is the value of ending inventory?