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2 Laker Company reported the following January purchases and sales data for its only product. Units sold at Retail 180 units $24.50 Date Activities Units

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2 Laker Company reported the following January purchases and sales data for its only product. Units sold at Retail 180 units $24.50 Date Activities Units Acquired at Cost Jan. 1 Beginning inventory 230 units $15.50 - $ 3,565 Jan. 10 Sales Jan. 20 Purchase 190 unitse $14.50 - 2,755 Jan. 25 Sales Jan. 30 Purchase 360 units@ $14.00 - 5,040 Totals 780 units $11,360 220 units # $24.50 400 units int The Company uses a perpetual Inventory system. For specific identification, ending inventory consists of 380 units, where 360 are from the January 30 purchase, 5 are from the January 20 Qurchase, and 15 are from beginning inventory arences Required: 1. Complete comparative income statements for the month of January for Laker Company for the four inventory methods. Assume expenses are $2150, and that the applicable income tax rate is 40% (Round your Intermediate calculations to 2 decimal places.) LAKER COMPANY Income Statements For Month Ended January 31 Alnih Required: 1. Complete comparative income statements for the month of January for Laker Company for the four inventory methods. Assume expenses are $2,150, and that the applicable income tax rate is 40% (Round your Intermediate calculations to 2 decimal places.) 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 es 2. Which method yields the highest net income? 14 Required information 2. Which method yields the highest net income? Part 2 of 2 6.25 points O FIFO Specific identification OLIFO Weighted average eBook Hint 3. Does net income using weighted average fall between that using FIFO and LIFA? Print References Yes 4. If costs were rising instead of falling, which method would yield the highest net income? FIFO OLIFO O Specific identification O Weighted average ME AN 3: BE

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