Laker Company reported the following January purchases and sales data for its only product. Units sold at Retail Date Activities Jan. 1 Beginning inventory Units Acquired at Cost 140 units @ $6.00 $ 840 Jan. 10 Sales Jan. 20 Purchase 100 units @ $15 Jan. 25 Sales Jan. 30 Purchase Totals 60 units @ $5.00 = 180 units @ $4.50= 380 units 300 80 units @ $15 810 $1,950 180 units The Company uses a perpetual inventory system. 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. Required: 1. Complete 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%. (Round your Intermediate calculations to 2 decimal places.) LAKER COMPANY Income Statements For Month Ended January 31 Sales Cost of goods sold Gross profit Specific Identification Weighted Average FIFO LIFO Required: 1. Complete 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%. (Round your Intermediate calculations to 2 decimal places.) LAKER COMPANY Income Statements. For Month Ended January 31 Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income Specific Identification Weighted Average FIFO LIFO 2. Which method yields the highest net income? Weighted average OLIFO FIFO Specific identification 3. Does net income using weighted average fall between that using FIFO and LIFO? Yes No 4. If costs were rising instead of falling, which method would yield the highest net income? Specific identification O FIFO OLIFO Weighted average