Can you explain why cash and equity change when the company switches from LIFO to FIFO, and why there is no change or up by 121.2 in net income and why does it different from the net income from Q3?

3. What would DuPont's net income for 2015 have been if it had been using FIFO to account for all of its inventories? In answering this question, please assume a 40% tax rate. Please use the net income attributable to DuPont. 1,953 38 * 0.6 = 1,930.2 4. If DuPont switched from the LIFO method to the FIFO method what would be the effect on the following financial statements (please provide specific numbers and account names). Assume a 40% tax rate Balance sheet Inventory will go up by Cash goes down by taxes Liabilities 202 (80.8) no change up by 121.2 Equity Income statement (Net income) No change Also accepted up by 121.2 Cash flow statement (operations section) Down by 80.8 CONSOLIDATED INCOME STATEMENTS Doillars in millions, except per share) For the year ended December 31 2015 2014 2013 Net sales 28,998 25,130 $ 28,406 $ $ 17,642 Cost of goods sold 17,023 15,112 Other operating charges Selling, general and administrative expenses 1,222 459 645 4,891 5,342 4,615 Research and development expense 1,958 (1,277) 2,037 1,898 (371) Other income, net (697) 377 Interest expense 342 448 Employee separation /asset related charges, net 810 476 112 2,591 Income from continuing operations before income taxes Provision for income taxes on continuing operations 4,313 2,566 360 696 1,168 3,145 Income from continuing operations after income taxes Income from discontinued operations after income taxes 1,895 2,206 64 491 2,656 Net income 1,959 3,636 4,862 Less: Net income attributable to noncontrolling interests 6 11 14 $ 1,953 $ 3,625 $ Net income attributable to DuPont 4,848 Basic earnings per share of common stock: $ 2.10 $ 3.42 $ 2.36 Basic eamings per share of common stock from continuing operations Basic eamings per share of common stock from discontinued operations 0.07 0.54 2.87 5.22 3.95 $ 2.17 $ Basic earnings per share of common stock Diluted earnings per share of common stock: $ 2.09 $ 3.39 $ Diluted earnings per share of common stock from continuing operations 2.34 Diluted eamings per share of common stock from discontinued operations 0.07 0.53 2.85 3.92 $ 1.84 S $ 2.16 $ 1.72 $ Diluted earnings per share of common stock 5.18 Dividends per share of common stock 178 Inventory footnote question 3 December 31, 2015 2014 Finished products 3,779 $ 4,011 Semi-finished products 1,780 2,277 Raw materials, stores and supplies 783 739 6,342 7,027 (202) 6,140 $ (240) Adjustment of inventories to a LIFO basis 6,787