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Hello Accounting Experts, I would like help with the following accounting homework problem: During 2010 Williamson company changed from Fifo to weighted-average inventory pricing. Pretax
Hello Accounting Experts, I would like help with the following accounting homework problem: During 2010 Williamson company changed from Fifo to weighted-average inventory pricing. Pretax income in 2009 and 2008 (Williamson's first year of operations) under Fifo was $160,000 and $180,000 respectively. Pretax income using weighted-average pricing in the prior years would have been $145,000 in 2009 and $170,000 in 2008. In 2010, Williamson Company reported pretax income (using weighted-average pricing) of $180,000. Question: Show comparative income statements for Williamson company beginning with "income before income tax," as presented on the 2010 income statement. (The tax rate in all years is 30%) Please show all calculations. Thank you
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