Check my work 6 E7-17 (Algo) Analyzing Notes to Adjust Inventory from LIFO to FIFO LO7-6 9.09 points Warner Borg is a leading global supplier of highly engineered automotive systems and components primarily for powertrain applications. The following note was contained in its recent annual report: NOTE 3. INVENTORIES, NET as of December 31 (in millions) Current Year Raw materials and supplies $ 343.7 Work in progess 102.2 Finished goods 129.8 FIFO inventories LIFO reserve (23.8) Total inventories, net $ 551.9 Prior Year $ 304.0 91.2 130.6 525.8 (21.5) $ 504.3 575.7 Required: 1. What amount of ending inventory would have been reported in the current year if Warner Borg had used only FIFO? (Enter your answer in millions rounded to 1 decimal place.) 2. The cost of goods sold reported by Warner Borg for the current year was $7,100.9 million. Determine the cost of goods sold that would have been reported If Warner Borg had used only FIFO for both years. (Enter your answer in millions rounded to 1 decimal place.) 3. To lower the cash outflows for taxes, which of the following should the Warner Borg management choose to use for certain of its inventories when the costs are rising? 1. Reported ending inventory 2. Cost of goods sold 3. Which method should Warner Borg use? million million