Analyzing Inventories with Quarterly Data and LIFO Liquidation The inventory footnote from The Dow Chemical Company's first quarter 2019 SEC report follows. The company also reports cost of goods sold for Q1 of 2019 of $11,135 million. Required a. What inventory costing method does Dow Chemical use? As of Q1 of 2019, what is the effect on cumulative pretax income and cash flow of using this inventory costing method, assuming a 30% average cumulative tax rate. Note: Do not use any negative signs with your answers. Effect on pretax income (in miltions): \$ xt Effect on cash flows (in millions): What is the effect on Q1 of 2019 pretax income and cash flow of using this inventory costing method, assuming a 21% tax rate? Note: Do not use any negative signs with vour answers. Effect on pretax income (in millions): $ Effect on cash flows (in millions): 5 b. Compute inventory turnover and average inventory days outstanding for Q1 of 2019 . (Hint: How do we adjust the ratio for the number of days in a quarter instead of a year?) Note: Do not round until your final answer; round your final answer to one decimal place (for example, enter 6.8 for 6.77555 ). c. Determine the FFO values for inventories and cost of goods sold for Q1 of 2019. Recompute inventory turnover and DiO. FIFO inventories $ FIFO CGS $ Note: Do not round until your final answer; round your final answer to one decimal place (for example, enter 6.8 for 6.77555 ). Inventory turnover times Average inventory days x days