Between FIFO and LIFO, which would result in the higher EPS? \begin{tabular}{|l|l|l|l|l|l|l|} \hline Specific Identification & \multicolumn{3}{|c|}{ Cost of Goods Available for Sale } & \multicolumn{3}{c|}{ Cost of Goods Sold } \\ \hline & \begin{tabular}{c} Number of \\ Units \end{tabular} & Cost per Unit & \begin{tabular}{c} Cost of Goods \\ Available for \\ Sale \end{tabular} & \begin{tabular}{c} Number of \\ Units Sold \end{tabular} & Cost per Unit & \begin{tabular}{c} Cost of Goods \\ Sold \end{tabular} \\ \hline Beginning inventory & & & & & & \\ \hline Purchases: & & & & & & \\ \hline January 12 & & & & & & \\ \hline January 26 & & & & & & \\ \hline Total & & & $ & 0 & & \\ \hline \end{tabular} Required 1A Required 1B etween FIFO and LIFO, which method would result in the lower income tax expense? Assume a 20 percent average tax rate. Round your answer to 2 decimal places.) setween FIFO and LIFO, which method would result in the higher pretax income? \begin{tabular}{|c|c|c|c|c|c|c|} \hline & \begin{tabular}{c} Number of \\ Units \end{tabular} & Cost per Unit & \begin{tabular}{l} Cost of Goods \\ Available for \\ Sale \end{tabular} & \begin{tabular}{l} Number of \\ Units Sold \end{tabular} & Cost per Unit & \begin{tabular}{c} Cost of Goods \\ Sold \end{tabular} \\ \hline \multicolumn{7}{|l|}{ Beginning inventory } \\ \hline \multicolumn{7}{|l|}{ Purchases: } \\ \hline \multicolumn{7}{|l|}{ January 12} \\ \hline \multicolumn{7}{|l|}{ January 26} \\ \hline Total & & & & & & $ \\ \hline \multirow[t]{2}{*}{ FIFO } & \multicolumn{3}{|c|}{ Cost of Goods Available for Sale } & \multicolumn{3}{|c|}{ Cost of Goods Sold } \\ \hline & \begin{tabular}{c} Number of \\ Units \end{tabular} & Cost per Unit & \begin{tabular}{l} Cost of Goods \\ Available for \\ Sale \end{tabular} & \begin{tabular}{l} Number of \\ Units Sold \end{tabular} & Cost per Unit & \begin{tabular}{c} Cost of Goods \\ Sold \end{tabular} \\ \hline Beginning inventory & & & & & & $ \\ \hline \multicolumn{7}{|l|}{ Purchases: } \\ \hline January 12 & & & & & & $ \\ \hline \multicolumn{7}{|l|}{ January 26} \\ \hline Total & 0 & & & 0 & & \\ \hline \multirow[t]{2}{*}{ LIFO } & \multicolumn{3}{|c|}{ Cost of Goods Available for Sale } & \multicolumn{3}{|c|}{ Cost of Goods Sold } \\ \hline & \begin{tabular}{c} Number of \\ Units \end{tabular} & Cost per Unit & \begin{tabular}{l} Cost of Goods \\ Available for \\ Sale \end{tabular} & \begin{tabular}{l} Number of \\ Units Sold \end{tabular} & Cost per Unit & \begin{tabular}{c} Cost of Goods \\ Sold \end{tabular} \\ \hline \multicolumn{7}{|l|}{ Beginning inventory } \\ \hline \multicolumn{7}{|l|}{ Purchases: } \\ \hline \multicolumn{7}{|l|}{ January 12} \\ \hline \multicolumn{7}{|l|}{ January 26} \\ \hline Total & & & & 0 & & \\ \hline \end{tabular} Between FIFO and LIFO, which method would produce the more favorable cash flow? At the end of January of the current year, the records of Donner Company showed the following for a particular item that sold at $18.80 per unit: Required: 1a. Assuming the use of a periodic inventory system, compute Cost of Goods Sold under each method of inventory: average cost, FIFO, LIFO, and specific identification. For specific identification, assume that the first sale was selected from the beginning inventory and the second sale was selected from the January 12 purchase. 1b. Assuming the use of a periodic inventory system, prepare a partial income statement under each method of inventory: (a) average cost, (b) FIFO, (c) LIFO, and (d) specific identification. For specific identification, assume that the first sale was selected from the beginning inventory and the second sale was selected from the January 12 purchase. 2a. Between FIFO and LIFO, which method would result in the higher pretax income? 2b. Between FIFO and LIFO, which would result in the higher EPS? 3. Between FIFO and LIFO, which method would result in the lower income tax expense? Assume a 20 percent average tax rate. 4. Between FIFO and LIFO, which method would produce the more favorable cash flow? Complete this question by entering your answers in the tabs below. Assuming the use of a periodic inventory system, prepare a partial income statement under each method of inventory: (a) average cost, (b) FIFO, (c) LIFO, and (d) specific identification. For specific identification, assume that the first sale was selected from the beginning inventory and the second sale was selected from the January 12 purchase. (Round the average cost per unit value to 2 decimal places. Round the final value to nearest whole dollar.)