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29 THE BRICK COMPANY Effect of Events on Firiancial Statements Panel 1: FIFO Cost Flow he Brick Company had cash sales of $222,700 for Year

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29 THE BRICK COMPANY Effect of Events on Firiancial Statements Panel 1: FIFO Cost Flow he Brick Company had cash sales of $222,700 for Year 1, its first year of operation. On April 2, the company purchased 242 units of ventory at $230 per unit On September 1, an additional 182 units were purchased for $253 per unit. The company had 65 units on and at the end of the year. The company's income tax rate is 40 percent. All transactions are cash transactions. tequired . The preceding paragraph describes five accounting events: (1) a sales transaction, (2) the first purchase of inventory, (3) a second purchase of inventory. (4) the recognition of cost of goods sold expense, and (5) the payment of income tax expense. Record the amounts of each event in horizontal statements models like the following ones, assuming first a FIFO and then a LIFO cost flow. b. Compute net income using FFO. c. Compute net income using LIFO. Complete this question by entering your answers in the tabs below. The preceding paragraph describes five accounting events: ( 1 ) a sales transaction, (2) the first purchase of inventory, (3) a second purchase of invento recognition of cost of goods sold expense, and ( 5 ) the payment of income tax expense. Record the amounts of each event in horizontal statements mod following ones, assuming first a FIFO and then a LIFO cost flow. (In the Cash Flow column, use the initials OA to deslgnate operating activity. IA for inve FA. For linancing activity, FC for net change in cash and if the element is not affected by the event, leave the cell blank, Round your final ansivers to the dollar amount. Enter any decreased to account balances and cash outliow with a minus sign. Not all cells wil require entry.) mpute net income using FIFO. (Round your final answer to tho nearest whole dollar amount) Complete this question by entering your answers in the tabs below. Compute net income using ufo. (Round your finat answseto the nosarest whole dollar imount)

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