Emily Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 2:

			Units			Unit Cost
Inventory, December 31, prior year				2,890			$	12
For the current year:
Purchase, April 11				8,860				13
Purchase, June 1				7,930				18
Sales ($55 each)				10,860
Operating expenses (excluding income tax expense)	$	191,500

Required:

1. Prepare a separate income statement through pretax income that details cost of goods sold for (a) Case A: FIFO and (b) Case B: LIFO.

EMILY COMPANY
Income Statement
For the Year Ended December 31, current year
	Case A		Case B
	FIFO		LIFO
Sales revenue		$597,300		$597,300
Cost of goods sold:
Beginning inventory	$34,680		$34,680
Purchases	257,920		257,920
Goods available for sale	292,600		292,600
Ending inventory	154,310		111,770
Cost of goods sold		?		?
Gross profit		?		?
Operating expenses		?		?
Pretax income		?		?