Navy Seals Surplus began October 2018 with 100 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 310 stoves, and at October 31, the ending inventory consisted of 60 stoves. The sales price of each stove was $50. Read the requirements Requirement 1. Determine the cost of goods sold and ending inventory amounts for October 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 units 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 LIFO assigns the to cost of goods sold. Requirement 3. Prepare Navy Seals Surplus' income statement for October. Report gross profit. Operating expenses totaled $2,750. The company uses average costing for inventory. The income tax rate is 36% (Round income tax expense to the nearest whole dollar.) Navy Seals Surplus Income Statement Month Ended October 31, 2018 Data Table October 6 110 stoves @ S 2,200 $20 = $25 = 18 120 stoves @ 3,000 26 40 stoves @ $30 1,200 Print Done Net income