! Required information E7-8 (Algo) Analyzing and Interpreting the Financial Statement Effects of LIFO and FIFO LO7-2, 7-3 [The following information applies to the questions displayed below.) Givoly Inc. uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 2: Units 6,300 Unit Cost $13 Inventory, December 31, prior year For the current year: Purchase, March 5 Purchase, September 19 Sale $30 each) Sale ($32 each) Operating expenses (excluding income tax expense) 11 7 18,300 9,300 8,500 15,300 $393,000 E7-8 Part 2 2. Compute the difference between the pretax income and the ending inventory amounts for the two cases. Comparison of Amounts Case A Case B FIFO LIFO Difference Pretax income Ending inventory