Exercise 22-3 Riverbed Co. decides at the beginning of 2017 to adopt the FIFO method of inventory valuation. Riverbed had used the LIFO method for financial reporting since its inception on January 1, 2015, and had sheet The following table presents the effects of the change in accounting nrincinles on inventory and cost of goods col tory method because it reflects the current cost of inventory on the balance Inventory Determined by Cost of Goods Sold Determined by Mathod FIFO Method Method LIFO Method Date January 1, 2015 0 0 730 December 31, 2015 100 822 December 31, 2016 910 200 230 788 December 31, 2017 1,010 290 38C 950 Retained earnings reported under LIFO are as follows. Retained Earnings Balance December 31, 2015 $1.470 December 31, 2016 2,760 December 31, 2017 3,950 Other information: For each year presented, sales are $3,230 and operating expenses are $1,030 Riverbed provides two years of financial statements. Earnings per share information is not required 1. 2. Prepare income statements under LIFO for 2015, 2016, and 2017. RIVERBED Co. Income Statement For the Year Ended December 31 LIFO 2015 2016 2017 $ LA FA LO LA Prepare income statements under FIFO for 2015, 2016, and 2017. RIVERBED CO. Income Statement For the Year Ended December 31 FIFO 2015 2016 2017 LA LA LA Prepare income statements reflecting the retrospective application of the accounting change from the LIFO method to the FIFO method for 2017 and 2016. RIVERBED CO. Income Statement For the Year Ended December 31 2016 2017 $ Prepare comparative retained earnings statements for 2016 and 2017 under FIFO. 2017 2016 $