Navy Seals Surplus began May 2018 with 70 stoves that cost $10 each. During the month, the company made the following purchases at cost: : (Click the icon to view the purchases.) The company sold 247 stoves, and at May 31, the ending Inventory consisted of 53 stoves. The sales price of each stove was $44. Read the requirements Cost of goods sold 247 $ 4,693 $ 4,228 S 5,170 Ending inventory 53 $ 1,007 $ 1.472S 530 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 rising and LIFO assigns the most recent units purchased to cost of goods sold. Requirement 3. Prepare Navy Seals Surplus' income statement for May. Report gross profit. Operating expenses totaled $4,000. The company uses average costing for inventory. The income tax rate is 30%. (Round income tax expense to the nearest whole dollar) Data Table - X Navy Seals Surplus Income Statement Month Ended May 31, 2018 May $ 80 stoves @ 100 stoves @ 50 stoves @ S15 = 524 = S28 = 1,200 2.400 1,400 Print Done Net income