Lunar Company uses a perpetual inventory system. The company's accounting records provided the following information for Product 2 Required: 1. Prepare a statement of earnings for 2020, through pretax earnings, showing the detalled computation of cost of sales for two cases: a Case A-FIFO b Case B-Weighted average (Round intermediate calculations to 2 decimal ploces.) 2. Calculate the pretax earnings and the ending inventory amounts between the two cases. 3. Which inventory costing method may be preferred for income tax purposes? FIFO Weighted Average 4. Prepare journal entries to record transactions (D) through (e), assuming that all sales and purchase transactions are on account and that Scoresby uses FIFO for inventory costing. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Prepare journal entries to record transactions (b) through (e), assuming that all sales and purchase transactions are on account ond hat Scoresby uses FIFO for inventory costing. (If no entry is required for a transaction/event, select "No journal entry required" in he first account field.) Journal entrv workshant 4. Prepare joumal entries to record transactions (b) through (e) assuming that all sales and purchase transactions are on account and that Scoresby uses FIFO for inventory costing. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 4. Prepore joumal entries to record transactions (b) through (e) assuming that all sales and purchase transactions are on account and that Scoresby uses FIFO for inventory costing (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet