For specific identification, ending inventory consists of 200 units, where 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from beginning inventory.

1. Prepare comparative income statements for the month of January for Laker Company for the four inventory methods. Assume expenses are $1,250, and that the applicable income tax rate is 40%.

LAKER COMPANY Income Statements For Month Ended January 31 Weightecd Average SpecifiC Identification FIFO LIFO Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income $ 2,700.00 2,700.00 s 2,700.00 $2,700.00 1,020.00 1,680.00 1,250.00 430.00 1,025.00 1,675.00 1,250.00 1,032.00 1,668.00 1,250.00 418.00 1,040.00 1,660.00 1,250.00 410.00 425.00 70.00 167.00 164.00172.00 255.00 251.00 S 246.00 258.00 Required information The following information applies to the questions displayed below.] Laker Company reported the following January purchases and sales data for its only product. Activities Units Acquired at Cost Units sold at Retail Date Jan. 1 Beginning inventory Jan. 10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase 140 units@ $6.00- 840 300 180 units $4.50810 100 units@ 15 60 units $5.00 80 units $15 Totals 380 units $1,950 180 units