4) Determine the difference in the amount of income that the company would have reported if it had used the FIFO method instead of the LIFO method. Would income have been greater or less?

Ed 35. Grother Company uses the periodic inventory mathod and had the following inventory information available: Unit Total Units Cost Cost 1/1 Beginning 100 $4 $ 400 Inventory 1/20 Purchase 500 2,500 7/25 Purchase 100 $7 700 10/20 Purchase 300 $8 2,400 1.000 $6.000 $5 A physical count of inventory on December 31 revealed that there were 325 units on hand. Instructions Answer the following independent questions and show computations supporting your answers. 1) Assume that the company uses the FIFO method. The value of the ending inventory at December 31 is $ 2) Assume that the company uses the average cost method. The value of the ending inventory on December 31 is $ 3) Assume that the company uses the LIFO method. The value of the ending inventory on December 31 is $ 4) Determine the difference in the amount of income that the company