Military Surplus began May 2018 with 100 stoves that cost $10 each. During the month, the company made the following purchases at cost Click the foon to view the purchases.) The company sold 331 stoves, and at May 31, the ending inventory consisted of 49 stoves. The sales price of each stove was $44. Read the resuirements Requirement 1. Determine the cost of goods sold and ending inventory amounts for May under the average-cost, FIFO, and LIFO costing methods. Round the average cost per unit to two decimal places, and round all other amounts to the nearest dollar Number of unit Average cost FIFO LIFO Cost of goods sold Ending Inventory Requirement 2. Explain why cost of goods sold is highest under LIFO. Be specific Under LIFO the cost of goods sold is the highest because costs are and UFO assigns the W to cost of goods sold Requirement 3. Prepare Military Surplus income statement for May. Report gross proft Operating expenses totaled 52,750. The company uses average costing for inventory The income tax rate is 40%. Round Income tax expense to the nearest whole dollar) Military Surplus Income Statement Month Ended May 31, 2018 The company sold 331 sloves, and at May 31, the ending inventory consisted of 49 stoves. The sales price of each stove was $44. Read the requirements Requirement 2. Explain why cost of goods sold is highest under LIFO. Be specific Under LIFO the cost of goods sold is the highest because costs are and LIFO assigns the to cost of goods sold Requirement 3. Prepare Military Surplus' income statement for May. Report gross profit. Operating expenses totaled $2.750. The company uses average costing for inv The income tax rate is 40%. (Round income tax expense to the nearest whole dollar) Military Surplus Income Statement Month Ended May 31, 2018 Net Income to cost of goods sold. i Data Table ary Surplus' incomes Round income tax ex X The company uses average cos Surplus Statement May 31, 2018 May 6 $ 2,160 18 120 stoves $18 130 stoves @ $25 30 stoves @ $27= 26 3.250 810 Print Done of goodpad is the Requirements X t of goods sold. Surplus ind incon any uses average costing for in plus ement ay 31, 2011 1. Determine the cost of goods sold and ending inventory amounts for May under the average-cost, FIFO, and LIFO costing methods. Round the average cost per unit to two decimal places, and round all other amounts to the nearest dollar. 2. Explain why cost of goods sold is highest under LIFO. Be specific 3. Prepare the Military Surplus income statement for May. Report gross profit. Operating expenses totaled $2,750. The company uses average costing for inventory. The income tax rate is 40%. Print Done