Lanier Company began operations on January 1, 2020, and uses the FIFO method in costing its raw material inventory. Management is contemplating a change to the LIFO method and is interested in determining what effect such a change will have on net income. Accordingly, the following information has been developed:

Final Inventory 2020 2021

FIFO $320,000 $360,000

LIFO 240,000 330,000

Net Income (computed under the FIFO method) 500,000 780,000

Based upon the above information, a change to the LIFO method in 2021 would result in net income for 2021 of

		$690,000.
		$750,000.
		$770,000.
		$810,000.