Ace Hardware uses the LIFO method to report its inventory. Inventory at the beginning of the year consisted of 8,000 units of the company's one product. These units cost $12 each. During the year, 25,000 units were purchased at a cost of $18 each, and 30,000 were sold. a. How much profit was created as a result of the partial liquidation of the company's beginning inventory layer, and how much additional tax was paid on this profit assuming a 25% tax rate? b. Discuss how the company could have avoided paying this additional tax. 12pt v Paragraph B