Part 1 QP CORP. Income Statements Comparing FIFO, LIFO, and Weighted Average For Year Ended December 31 Weighted FIFO LIFO Average Sales.. Cost of goods sold Cost of purchases. ................... Beginning inventory, Jan. 1................... Cost of goods available for sale Ending inventory, Dec. 31. Cost of goods sold. Gross profit... Operating expenses. Net income $200,000 $200,000 $200,000 $102,000 $ 95,300 $ 98,660 Supporting calculations Beginning inventory, Jan. 1 (700 x $18)............ Purchases 1,700 x $19 $32,300 800 x $20 16,000 500 x $21 10,500 2,300 x $22 50,600 Ending inventory, Dec. 31 (6,000-4,000 2,000 units) FIFO: 2,000 x $22 LIFO: W.A.: FIFO LIFO Weighted Average I