Q33

Question 33 (1 point) Examine the financial statement information for Western, Inc. What would Western's 2021 balance sheet show for inventory if Western used FIFO?Western, Inc. - Statements of Financial Position In thousands of Dollars ASSETS 31-Dec-21 31-Dec-20 Cash and marketable securities 14,232.95 0.00 Trade accounts receivable 50,295.85 53,966.50 Product inventory 60,239.75 54,079.20 Prepaid expenses and other current assets 6,812.00 3,958.10 Total current assets 131,580.55 112,003.80 Property and buildings 34,356.00 24,769.90 Equipment 28,329.85 23,326.85 Less-accumulated deprec and amort 15,587.05 11,828.90 Property, buildings, and equipment, net 47,098.80 36,267.85 Other long term assets 0.00 677.05 Goodwill 12,608.40 13,576.10 Total assets 191.287.75 162,524.80 LIABILITIES AND SHAREHOLDERS' EQUITY Trade accounts payable 52,330.30 34,384.55 Wages and salaries payable 7,546.55 8,672.15 Utilities and misc operating items payable 939.10 1,330.55 Total current liabilities 60,815.95 44,387.25 Long-term debt, net of current portion 23,886.25 24,380.15 Total liabilities 84, 702.20 68,767.40 SHAREHOLDERS' EQUITY: Common stock, 100 million shares authorized, $1 par value, 149.15 and 149.15 146.15 146.15 million shares issued, respectively Additional paid-in capital 64,612.80 61,751.75 Treasury stock -9,078.70 -8,267.30 Retained earnings 50,902.30 40,126.80 Total shareholders' equity 106,585.55 93,757.40 Total liabilities and shareholders' equity 191,287.75 162,524.80Western, Inc. - Statement of Income Fiscal Years Ended 31-Dec-21 Revenues 420,252.00 Cost of goods sold -305.981.75 Selling, gen & admin exp -94.681.45 Total operating expenses -400,663.20 Income from operations 19,588.80 Interest inc (exp), net -2,276.40 Income before tax exp 17,312.40 Income tax expense -6,536.90 Net income 10,775.50 From the Notes to the Consolidated Financial Statements (dollar amounts in thousands): Inventories Inventory cost is determined using the last-in, first-out (LIFO) method. The reserve to reduce inventories from a FIFO basis to a LIFO basis amounted to $7,475.50 at December 31, 2021 and $6,280.00 at December 31, 2020