Brief Exercise 6-36 Effects of Inventory Costing Methods Tyler Company has the following information related to purchases and sales of one of its inventory items. Date Description Units Purchased at Cost Units Sold at Retail 20 units @ $5 30 units @ $8 Sept. 1 Beginning inventory 10 Purchase 20 Sales 25 Purchase Required: 40 units @ $15 25 units at $10 1. Which inventory costing method produces the highest amount for net income? 2. Which inventory costing method produces the lowest amount for taxes? 3. Which inventory costing method produces the highest amount for ending inventory? Brief Exercise 6-36 Effects of Inventory Costing Methods Tyler Company has the following information related to purchases and sales of one of its inventory items. Date Description Units Purchased at Cost Units Sold at Retail Sept. 1 Beginning inventory 20 units @ $5 10 Purchase 30 units @ $8 20 Sales 40 units @ $15 25 Purchase 25 units at $10 Required: 1. Which inventory costing method produces the highest amount for net income? 2. WH FIFO Intory costing method produces the lowest amount for taxes? LIFO 3. WHcmventory costing method produces the highest amount for ending inventory