Miller Corporation Uses the Periodic Inventory Method and Had the Following

Miller Corporation uses the periodic inventory method and had the following inventory information available: $$\begin{array} { | l | l | r | r | r | } \hline & & \text { Units } & \text { Unit Cost } & \text { Total Cost } \\\hline \text { Jan 1. } & \text { Beginning inventory } & 100 & \$ 4 & \$ 400 \\\hline \text { Jan 20 } & \text { Purchase } & 500 & \$ 5 & 2,500 \\\hline \text { July 25 } & \text { Purchase } & 100 & \$ 6 & 600 \\\hline \text { Nov. 20 } & \text { Purchase } & 300 & \$ 7 & 2,100 \\\hline & & 1,000 & & \$ 5,600 \\\hline\end{array}$$ A physical count of inventory on December 31 revealed that there were 350 units on hand. Requirements: Answer the following independent questions and show calculations supporting your answers.
1. Assume that the company uses FIFO. The value of the ending inventory at December 31 is $__________.
2. Assume that the company uses average cost. The value of the ending inventory on December 31 is $__________.
3. Determine the difference in the amount of profit that the company would have reported if it had used FIFO instead of average cost. Would profit have been greater or less?