I need sub-questions E,F,G,H answered.

thank you

E) Name a practical reason for LTM to use LIFO.

F) If LTM were considering a switch from FIFO to LIFO, it would have to be concerned with the LIFO conformity rule. Explain.

G) Assume LTM uses LIFO and the same number of units were sold. Would the company benefit from purchasing 1,000 units at a cost of $40 each on December 31, 2003? Explain.

H) Would your answer to part (g) be the same if LTM used FIFO? Explain.

DO and two negative aspite tech archaeological tools. Informa P9-4 LTM Enterprises is a distributor of high-tech archaeological one of its inventory items for 2003 indicates: Units Cost per Unit Tord. Can 18 5,000 20,000 17,000 2,000 44,000 36 621 768 $1568 1/1 Beginning inventory 2/6 Purchase 7/18 Purchase 10/20 Purchase Goods available for sale - 31, 2003, LTM had 3,000 units of the item on hand. D. sold this product at an average of $60 per unit. and. During 2003.LT 31. 2003, under FIFO, LIFO thod of inventory vale Required: a. Compute the value of the ending inventory at December 31, 2003. and average cost flow assumptions. LTM uses the periodic method of in ation. b. Compute the gross profit generated during 2003 using FIFO and LIFO c. Compute the gross profit percentage generated during 2003 using FIFO and the d. Name a practical reason for LTM to use FIFO. e. Name a practical reason for LTM to use LIFO. f. If LTM were considering a switch from FIFO to LIFO, it would have to be concerned with the LIFO conformity rule. Explain. g. Assume LTM uses LIFO and the same number of units were sold. Would the com- pany benefit from purchasing 1,000 units at a cost of $40 each on December 31, 2003? Explain. h. Would your answer to part (g) be the same if LTM used FIFO? Explain. i. If LTM decides to switch from average cost to FIFO, assuming the cost behavior pat- terns in evidence during the year, would its income be higher or lower than if it had stayed with average cost? Explain. 1. Assume LTM was required to make a lower of cost or market adjustment of 54,00 to its year-end inventory. Prepare journal entries showing two alternative approacum for this write-down. any differences in LTM's income state- k. Would the entries made in part (i) result in any differences in LTM ment for 2003? Explain. 1. If the inventory written down in part 6) increased in value $6,04 should LTM do under generally accepted accounting principles: Exp Startup Soho ased in value $6,000 in 2004, what P9-5