Orion Iron Corp. tracks the nunber of units purchased and sold throughout each year but applies its inventory costing method at the end lf the annual accounting period, Decemeber 31.

1.Calculate the numbwr and cost of goods available for sale.

2.Calculate the number of units in ending inventory.

3. Compute the cost of ending inventory and costs of goods sold under (a) FIFO (b) LIFO and (c) weighted average cost.

4. Prepare an income statement that shows under the FIFO method, LIFO method and weighted average method.

6. Which inventory costing method minimizes income taxes?

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Onion Iron Corp. tracks the number of units purchased and sold throughout each year but applies Its Inventory costing method at the end of the year, as if it uses a periodic Inventory system. Assume its accounting records provided the following Information at the end of the annual accounting period, December 31. Units 350 UNDE Cost $14 Transactions a. Inventory, Beginning For the year: b. Purchase, April 11 c. Purchase, June 1 d. Sale, May 1 (sold for $42 per unit) e. Sale, July 3 (sold for $42 per unit) f. Operating expenses (excluding income tax expense). $19,600 950 700 12 16 35e 670 Required: 1. Calculate the number and cost of goods available for sale 2. Calculate the number of unfts in ending Inventory 3. Compute the cost of ending Inventory and cost of goods sold under (a) FIFO, (b) LIFO, and (c) weighted average cost. 4. Prepare an income statement that shows under the FIFO method, LIFO method and welghted average method. 6. Which Inventory costing method minimizes Income taxes? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required Required 6 Prepare an income Statement that shows under the FIFO method. LIFO method and weighted average method. ORION IRON CORP Income Statement For the Year Ended December 31 FIFO LIFO Weighted Average hoome from orations