In preparation for significant expansion of its international operations, Ayayai Co. has adopted a plan to gradually shift to the same accounting methods as used by its international competitors. Part of this plan includes a switch from LIFO inventory accounting to FIFO (recall that IFRS does not allow LIFO). Ayayai decides to make the switch to FIFO at January 1, 2020. The following data pertains to Ayayais 2020 financial statements (in millions of dollars).

Sales		$490
Inventory purchases		290
12/31/20 inventory (using FIFO)		520
Compensation expense		11

All sales and purchases were with cash. All of 2020s compensation expense was paid with cash. (Ignore taxes.) Ayayais property, plant, and equipment cost $340 million and has an estimated useful life of 10 years with no salvage value. Ayayai Co. reported the following for fiscal 2019 (in millions of dollars):

AYAYAI CO. BALANCE SHEET AT DECEMBER 31, 2019
		2019				2018						2019			2018
Cash		$	311			$	140			Common stock		$	440		$	440
Inventory			440				420			Retained earnings			583			426
Property, plant, and equipment			340				340
Accumulated depreciation			(68	)			(34	)
Total assets		$	1,023			$	866			Total equity		$	1,023		$	866

AYAYAI CO. INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2019
		2019
Sales			$	440
Cost of goods sold				(240	)
Depreciation expense				(34	)
Compensation expense				(9	)
Net income			$	157

Summary of Significant Accounting Policies Inventory: The company accounts for inventory by the LIFO method. The current cost of the companys inventory, which approximates FIFO, was $54 and $44 higher at the end of fiscal 2019 and 2018, respectively, than those reported in the balance sheet.

Prepare Ayayais December 31, 2020, balance sheet and an income statement for the year ended December 31, 2020. In columns beside 2020s numbers, include 2019s numbers as they would appear in the 2020 financial statements for comparative purposes. (List Assets in order of liquidity.)

AYAYAI CO. Balance Sheet December 31, 2020For the Year Ended December 31, 2020For the Quarter Ended December 31, 2020
		2020		2019
		$		$
Long-Term InvestmentsTotal AssetsTotal Current AssetsCurrent AssetsTotal Intangible AssetsCurrent LiabilitiesTotal EquityTotal Current LiabilitiesShort-Term InvestmentsIntangible Assets		$		$
		$
Short-Term InvestmentsTotal Current LiabilitiesIntangible AssetsTotal EquityTotal Intangible AssetsLong-Term InvestmentsTotal AssetsCurrent AssetsCurrent LiabilitiesTotal Current Assets		$		$

AYAYAI CO. Income Statement December 31, 2020For the Year Ended December 31, 2020For the Quarter Ended December 31, 2020
		2020		2019
		$		$
Total ExpensesExpensesRevenuesNet Income / (Loss)Total RevenuesDividends		$		$

Compute Ayayais inventory turnover for 2019 and 2020 under both LIFO and FIFO. Assume averages are equal to year-end balances where necessary. (Round answers to 2 decimal places, e.g. 52.75. Do not leave any field blank. Enter 0 for the amounts if the answer is N/A.)

		2020		2019
LIFO
FIFO