0 Required Information The following information applies to the questions displayed below) Laker Company reported the following January purchases and sales data for its only product. The Company uses a periodic Inventory system. For specific identification, ending Inventory consists of 215 units, where 190 are from the January 30 purchase, 5 are from the January 20 purchase, and 20 are from beginning Inventory Date Activities Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase Totals Units Acquired at Cost Units sold at Retail 145 units @ $7.00 = $1,015 105 units @ $16.00 70 units @ $6.00 = 420 85 units @ $16.00 190 units @ $5.50 = 1,045 405 units $2,489 190 units Required 1. Complete comparative Income statements for the month of January for Laker Company for the four Inventory methods. AS expenses are $1,300, and that the applicable income tax rate is 40% (Round your average cost per unit to 2 decimal place LAKER COMPANY Income Statements For Month Ended January 31 Specific Weighted Identification Average FIFO LIFO Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income Gross profit Expenses Income before taxes Income tax expense Net income 2. Which method yields the highest net Income? OLIFO O Weighted average O Specific identification O FIFO 3. Does net income using welghted average fall between that using FIFO and LIFO? O NO Yes 4. If costs were rising Instead of falling, which method would yleld the highest net income? O FIFO OLIFO O Weighted average O Specific identification