Cansela Corporation reports inventory and cost of goods sold based on calculations from a LIFO periodic inventory system. The company began 2021 with inventory of 7,000 units of its only product. The beginning inventory balance of $88,000 consisted of the following layers:

2,500 units at $10 per unit	=	$	25,000
4,500 units at $14 per unit	=		63,000
Beginning inventory		$	88,000

During the three years 20212023 the cost of inventory remained constant at $16 per unit. Unit purchases and sales during these years were as follows:

	Purchases	Sales
2021	17,500	19,500
2022	23,000	25,500
2023	19,500	21,000

Required: 1. Calculate cost of goods sold for 2021, 2022, and 2023. 2. Disregarding income tax, determine the LIFO liquidation profit or loss, if any, for each of the three years. 3. Determine the effects of LIFO liquidation on cost of goods sold and net income for 2021, 2022, and 2023. Canselas effective income tax rate is 25%.