Borgia Enterprises has the following statement of earnings data available for 2018:

Sales revenue $737,200

Operating expenses 243,700

Interest expense 39,500

Income tax rate 34%

Borgia uses a perpetual inventory accounting system and the weighted average cost method. Borgia is considering adopting the FIFO method for costing inventory. Borgia's accountant prepared the following data:

If Weighted Average Cost UsedIf FIFO UsedEnding inventory$ 61,850$ 80,200Cost of goods sold403,150384,800Required:

1.Compute income before taxes, income tax expense, and net income for both of the inventory costing methods (rounded to the nearest dollar).

Weighted Average CostFIFOIncome before taxes$$Income tax expense / Tax savings due to loss$$Net income$$