MusicMagic.net Ltd. specializes in sound equipment. Because each inventory item is expensive, MusicMagic uses a perpetual inventory system. Company records indicate the following data for a line of speakers: 3: (Click the icon to view the data.) Requirements 1. Determine the amounts that MusicMagic should report for cost of goods sold and ending inventory in the following two ways: a. FIFO b. Weighted average cost 2. MusicMagic uses the FIFO method. Prepare MusicMagic's income statement for the month ended September 30, 2020, reporting gross profit. Operating expenses totalled $310, and the income tax rate was 40%. 3. MusicMagic is thinking of changing inventory costing methods from FIFO to weighted-average cost. Are they allowed to make this change? Briefly explain. Data Table Item Unit Cost Sale Price Date September Quantity 13 $ 80 11 $ 150 1 Balance 8 Sale 10 Purchase 30 Sale 17 125 3 185 Print Done