Blackwater Inc. reports inventory under LIFO. During the current year, they liquidated a LIFO layer containing 13,500 units at a cost of $5.00 per unit. Current year costs for the same inventory are $6.00 per unit. What was the effect of liquidation on net income (assume a 25% tax rate)? Income is $13,500 higher with liquidation O Income is $50,625 lower with liquidation O Income is $10,125 lower with liquidation Income is $10,125 higher with liquidation Income is $13,500 lower with liquidation Income is $50,625 higher with liquidation None of these answers