Air Force Surplus began May 2018 with 70 stoves that cost $10 each. During the month, the company made the following purchases at cost: = (Click the icon to view the purchases.) The company sold 240 stoves, and at May 31, the ending inventory consisted of 60 stoves. The sales price of each stove was $53. Read the requirements. Requirement 1. Determine the cost of goods sold and ending inventory amounts for May under the average-cost, FIFO, and LIFO costing methods. Round the average cost per unit to two decimal places, and round all other amounts to the nearest dollar. Number of units Average cost FIFO LIFO Cost of goods sold Ending inventory Requirement 2. Explain why cost of goods sold is highest under LIFO. Be specific. Under LIFO the cost of goods sold is the highest because costs are and LIFO assigns the to cost of goods sold. Requirement 3. Prepare Air Force Surplus' income statement for May. Report gross profit. Operating expenses totaled $2,750. The company uses average costing for inventory. The income tax rate is 30%. (Round income tax expense to the nearest whole dollar.) Air Force Surplus Income Statement Month Ended May 31, 2018 i Data Table Net income May 6 $ 80 stoves @ 100 stoves @ 50 stoves @ $15 = $20 = $30 = 1,200 2,000 1,500 Print Done