Problem 12-93A Accounting Alternatives and Financial Analysis Lemon Automobiles has asked your bank for a $100,000 loan to expand its sales facility. Lemon provides you with the following data: 2019 2018 2017 Sales revenue Net Income Ending inventory (FIFO)" Purchases Depreciable assets $6,100,000 119,000 665,000 5,370,000 1,240,000 $5,800,000 112,000 600.000 5,105,000 1,150,000 $5,400,000 106,000 500,000 4,860,000 1,090,000 The 2016 ending inventory was $470,000 (FFO). Your inspection of the financial statements of other automobiles sales firms indicates that most of these firms adopted the LIFO method in the late 1970s. You further note that Lemon has used 5% of depreciable asset cost when computing depreciation expense and that other automobile dealers use 10%. Assume that Lemon's effective tax rate is 25% of income before tax. Also assume the following: 2019 5508,000 2018 5495,000 Ending inventory (LIFO) 2017 $480,000 * The 2016 ending Inventory was $470,000 (LIFO). Required Check My Work 5 more Check My Work uses remaining Ermal instructor Save and Exit Submit Assignment for Grading MacBook PC TO Coor 1. Compute cost of goods sold for 2017-2019, using both the FIFO and the LIFO methods Cost of Goods Sold Year FIFO Method LIFO Method 2017 2018 2019 2. Compute depreciation expense for Lemon for 2017-2019, using both 5% and 10% of the cost of depreciable assets. Depreciation Expense Year 10% 2017 2018 2019 Don't forget the tax impact 3. Recompute Lemon's net income for 2017-2019, ng UFO and 10% depreciation of the increase in cost of sold and depreciation expense.) Net Income 2017 2018 2019 Check My Work more Check My Won g Emal instructor Save and Exit Submit Assignment for Grading MacBook Pro