Checkm Mannisto Inc. uses the FIFO inventory cost flow assumption. In a year of rising costs and prices, the firm reported net income of $225,777 and average assets of $1,593,560. If Mannisto had used the LIFO cost flow assumption in the same year, its cost of goods sold would have been $31,830 more than under FIFO, and its average assets would have been $43,200 less than under FIFO. Required: a. Calculate the firm's ROI under each cost flow assumption (FIFO and LIFO). (Enter your answers as percentages rounded to 1 decimal place (lie., 12.2%).) FIFO LIFO ROI b. Suppose that two years later costs and prices were falling. Under FIFO, net income and average assets were $268,167 and $1,884,610, respectively. If LIFO had been used through the years, Inventory values would have been $40,980 less than under FIFO, and current year cost of goods sold would have been $16,745 less than under FIFO. Calculate the firm's ROI under each cost flow assumption (FIFO and LIFO). (Enter your answers as percentages rounded to 1 decimal place (.e., 12.2%).) FIFO LIFO ROI Which expenses would most likely be classified as prepaid expenses (asset) rather than accrued expenses (liability)? Check All That Apply Wages Rent Insurance Premiums Utilities (power, water, etc.) You are reviewing the records for you business and the accounting department has given you the following inventory schedule. Inventory Item Cost of item Market Value A $4,600 $5,350 B 7,200 6,250 6,500 6,500 D 4,050 4,800 E 8,650 9,100 F 9,450 8,500 When the financial statements are prepared and assuming the accounting department analyzes each item separately, the amount presented on the balance sheet in Inventory will be: A B D E 1 2 3 Inventory = 4 5