MusicWorld.net Ltd. specializes in sound equipment. Because each inventory item is expensive, Music World uses a perpetual inventory system. Company records indicate the following data for a line of speakers: (Click the icon to view the data.) Requirements 1. Determine the amounts that MusicWorld should report for cost of goods sold and ending inventory in the following two ways: a. FIFO b. Weighted average cost 2. MusicWorld uses the FIFO method. Prepare MusicWorld's income statement for the month ended November 30, 2020, reporting gross profit. Operating expenses totalled $320, and the income tax rate was 30% 3. MusicWorld is thinking of changing inventory costing methods from FIFO to weighted average cost. Are they allowed to make this change? Briefly explain. Requirement 1. Determine the amounts that MusicWorld should report for cost of goods sold and ending inventory. (a) Using the FIFO method, the ending inventory is $a and the cost of goods sold is $0. (b) Using the weighted average-cost method, the ending inventory is $and the cost of goods sold is $ (Round interim calculations to two decimal places. Round final answers to the nearest dollar.) Requirement 2. MusicWorld uses the FIFO method. Prepare MusicWorld's income statement for the month ended November 30, 2020, reporting gross profit. Operating expenses totalled $320, and the income tax rate was Begin with the heading, and then select the accounts and enter the amounts in the statement. (Round answers to the nearest dollar. Use parentheses or a minus sign for negative income.) Choose from any list or enter any number in the input fields and then continue to the next question. Requirement 3. MusicWorld is thinking of changing inventory costing methods from FIFO to weighted average cost. Are they allowed to make this change? Briefly explain. IFRS and ASPE companies to change its accounting method, which results in the providing information. Choose from any list or enter any number in the input fields and then continue to the next question. 0 ar orth igh i Data Table - go dis Date Item Quantity Unit Cost Sale Price - cg November 1 Balance 13 $ 70 ans 8 Sale. 5 $ 125 CD UU es to 10 Purchase 14 105 est gati 30 Sale. 10 185 Print Done