All relevant information have been attached.

Attached please nd Income Statement, Balance Sheet, and footnote 3 on LIFO inventories from ExxonMobil's 2019 Annual Report. Answer the following questions for 2019. 1. Calculate the rm's inventory turnover ratio (COGS/average of beginning and ending inventory). Use "crude oil and product purchases." for COGS, and "Crude oil, products, and merchandise" for inventory. 143,801 2 10 26 crude oil and product purchases = 143,801 14,010 ' crude oil, products, and merchandise = 14,010 Recalculate the ratio in #1 assuming that the rm used FIFO. Recalculate the ratio in #1 assuming that the rm used LIFO but did not liquidate any inventory (i.e., kept its beginning balance intact). Calculate the rm's approximate inventory ination rate. How much was the rm's 2019 tax benet, or penalty (and which one), from LIFO? Assume a 21% tax rate. CONSOLIDATED STATEMENT OF INCOME Note Reference Number 2019 2018 2017 (millions of dollars) Revenues and other income Sales and other operating revenue 255,583 279,332 237,162 Income from equity affiliates 5,441 7,355 5,380 Other income 3,914 3,525 1,821 Total revenues and other income 264,938 290,212 244,363 Costs and other deductions Crude oil and product purchases 143,801 156,172 128,217 Production and manufacturing expenses 36,826 36,682 32,690 Selling, general and administrative expenses 11,398 11,480 10,649 Depreciation and depletion 18,998 18,745 19,893 Exploration expenses, including dry holes 1,269 1,466 1,790 Non-service pension and postretirement benefit expense 17 1,235 1,285 1,745 Interest expense 830 766 601 Other taxes and duties 19 30,525 32,663 30,104 Total costs and other deductions 244,882 259,259 225,689 Income before income taxes 20,056 30,953 18,674 Income taxes 19 5,282 9,532 (1,174) Net income including noncontrolling interests 14,774 21,421 19,848 Net income attributable to noncontrolling interests 434 581 138 Net income attributable to ExxonMobil 14,340 20,840 19,710 Earnings per common share (dollars) 12 3.36 4.88 4.63 Earnings per common share - assuming dilution (dollars) 12 3.36 4.88 4.63 The information in the Notes to Consolidated Financial Statements is an integral part of these statements.CONSOLIDATED BALANCE SHEET Note . Reference Dec. 31 Dec. 31 Number 21119 2018 _ (millions q'doars} Assets ' Current assets Cash and cash equivalents 3,089 3,042 Notes and accounts receivable, less estimated doubtful amounts 6 25.955 24,701 Inventories Crude oil, products and merchandise 3 14,010 14,803 Materials and supplies 4,518 4,155 Other current assets 1,469 1,272 Total current assets 50,052 47,973 Investments, advances and long-term receivables 3 43,164 40,790 Property, plant and equipment, at cost, less accumulated depreciation and depletion 9' 253,018 247,101 Other assets, including intangibles, net 16,363 10,332 Total assets 362,597 346,196 Liabilities Current liabilities Notes and loans payable 6 20,578 17,258 Accounts payable and accrued liabilities 6 41,831 37,268 Income taxes payable 1,5 80 2,612 Total current liabilities 63,989 I 57,138 Long-term debt 14 26,342 20,538 Postretirement benets reserves 17 22,304 20,272 Deferred income tax liabilities 19 25,620 27,244 longterm obligations to equity companies 3,988 4,382 Other long-term obligations 21,416 18,094 Total liabilities 163,659 147,668 Commitments and contingencies 16 Equity Common stock without par value (9,000 million shares authorized, 8,019 million shares issued) 15,637 15,258 Earnings reinvested 421,341 421,653 Accumulated other comprehensive income (19,493) (19,564) Common stock held in treasury (3,785 million shares in 2019 and 3,782 million shares in 2018) (225,835) (225,553) ExxonMobiI share of equity 191,650 191,794 Noncontrolling interests 7,238 6,734 Total equity 198,938 198,528 Total liabilities and equity 362,597 346,196 7718 information in the Notes to Consolidated F inancfai Statements is an integral part of these statements. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 2. Accounting Changes Effective January 1, 2019, the Corporation adopted the Financial Accounting Standards Board's Standard, Leases (Topic 842), as amended. The standard requires all leases to be recorded on the balance sheet as a right of use asset and a lease liability. The Corporation used a transition method that applies the new lease standard at January 1, 2019. The Corporation applied a policy election to exclude short-term leases from balance sheet recognition and also elected certain practical expedients at adoption. As permitted, the Corporation did not reassess whether existing contracts are or contain leases, the lease classication for any existing leases, initial direct costs for any existing lease and whether existing land easements and rights of way, which were not previously accounted for as leases, are or contain a lease. At adoption on January 1, 2019, an operating lease liability of $3.3 billion was recorded and the operating lease right of use asset was $4.3 billion, including $1.0 billion of previously recorded prepaid leases. There was no cumulative earnings etTect adjustment. Effective January 1, 2020, the Corporation adopted the Financial Accounting Standards Board's update, Financial Instruments # Credit Losses (Topic 326), as amended. The standard requires a valuation allowance for credit losses be recognized for certain nancial assets that reects the current expected credit loss over the asset's contractual life. The valuation allowance considers the risk of loss, even if remote, and considers past events, current conditions and expectations of the future. The standard is not expected to have a material impact on the Corporation's nancial statements. 3. Miscellaneous Financial Information Research and development expenses totaled $1,2i4 million in 2019, $1,116 million in 2018, and $1,063 million in 2017. Net income included before-tax aggregate foreign exchange transaction losses of $ l 04 million and $138 million in 2019 and 2018, respectively, and a gain of$6 million in 2017. In 2019, 2018, and 2017, net income included gains of $523 million and $107 million, and a loss of $10 million, respectively, attributable to the combined effects of LIFO inventory accumulations and drawdowns. The aggregate replacement cost of inventories was estimated to exceed their LIFO carrying values by $9.7 billion and $8.2 billion at December 31, 2019, and 2013, respectively. Crude oil, products and merchandise as of year-end 2019 and 20 i 3 consist of the following: 2 019 2018 (millions ofdoliors) Crude oil 5,111 4,783 Petroleum pro ducts 5,281 5,666 Chemical products _ 3 ,240 3,821 Gasiother 373 533 Total 14,010 14,803