Exercise 6-7 Income statement effects of alternative cost flow assumptions to3 Use the data in Exercises 6-5 and 66 to construct comparative Income statements for Car Armour (year end De cember 31, 2020). similar to those shown in Exhibit 6.8 in the chapter. Assume that operating expenses are $1,250. 1. Which method results in the highest profit 2. Il costs were rising instead of falling, which method would result in the highest profit? Exerc6-5 Allnative cost How assumption-pepeluanventory system LUX CUI CHECK FIGURES: 3. COGS a $5,527 55.476 Car Armour sells car wash cleaners. Car Armour Uses a perpetual inventory system and made purchases and sales of a particular product in 2020 as follows 70 1,240 Jan Beaning inventory Jan. 10 Sold Me 7 Purchased Mar 15 Sold July 20 Purchased Oct 1Purchaud Oct 5 Sold 110 rts 80s 300 units 130 $7.00 $15.50 $6.30 $1550 - 2015 500 units 670 units S600 $1550 - 10.385 Exercise 6-6 Specific identification cost flow assumption LO2 Xcel CHECK FIGURE: COGS - $452950 Use the information in Exercise 6-5. Assume that Car Armour specifically sold the following unit: 100 mengine M 1510 no begungor and 120 home Od 200 to the Jury 20 and 470 rom October durch Calculate cost to be assigned to ending inventory and cost of goods sold