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8. When prices are increasing, which of the following cost flow assumption gives the highest reported net income? a. LIFO. b. FIFO. c. Average cost d. All methods give the same amount. 9. GOT Inc. uses the LIFO method for external reporting purposes and FIFO for internal reporting purposes. At January 1, 2020, the "Allowance to Reduce Inventory to LIFO" ("LIFO Reserve") balance is $200,000. At December 31, 2020, the balance in the same account is $360,000. What should be the journal entry? a. Debit $160,000 of LIFO Reserve, credit $160,000 of Cost of Goods Sold. b. Debit $160,000 of Cost of Goods Sold, credit $160,000 of LIFO Reserve. c. Debit $360,000 of Cost of Goods Sold, credit $360,000 of LIFO Reserve. d. No journal entry required