The management of Utrillo Instrument Company had concluded, with the concurrence of its independent auditors, that results of operations would be more fairly presented if Utrillo changed its method of pricing inventory from last-in, first-out (LIFO) to average cost in 2012. Given below is the 5-year summary of income under LIFO and a schedule of what the inventories would be if stated on the average cost method.

                

Instructions
Prepare comparative statements for the 5 years, assuming that Utrillo changed its method of inventory pricing to average cost. Indicate the effects on net income and earnings per share for the years involved. Utrillo Instruments started business in 2007. (All amounts except EPS are rounded up to the nearest dollar.)