At the end of January of the current year, the records of Donner Company showed the following for a particular item that sold at $16.40 per unit: Transactions Inventory, January 1 Purchase, January 12 Purchase, January 26 Sale Sale Units 610 590 190 (470) (200) Amount $2,135 3,245 1,425 P7-3 Part 3 3. Between FIFO or LIFO, which method would result in the lower income tax expense? Assume a 30 percent average tax rate. (Round your answer to 2 decimal places.) Tax Savings Method LIFO