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Required information [The following information applies to the questions displayed below.] Shown below are net income amounts as they would be determined by Weihrich Steel

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Required information [The following information applies to the questions displayed below.] Shown below are net income amounts as they would be determined by Weihrich Steel Company by each of three different inventory costing methods ($ in thousands). Pre-2020 2020 Average Cost $2,700 FIFO $2,960 830 $3,790 LIFO $2.440 580 $3,020 $3,220 Required: 1. Assume that Weihrich used FIFO before 2021, and then in 2021 decided to switch to average cost. Prepare the journal entry to record the change in accounting principle. (Ignore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands.) Required information [The following information applies to the questions displayed below.) Shown below are net income amounts as they would be determined by Weihrich Steel Company by each of three different inventory costing methods ($ in thousands). Pre-2020 2020 FIFO $2,960 830 $3,790 Average Cost $2,700 520 $3,220 LIFO $2,440 580 $3,020 2. Assume that Weihrich used FIFO before 2021, and then in 2021 decided to switch to LIFO. Assume accounting records are inadequate to determine LIFO information prior to 2021. Therefore, the 2020 ($580) and pre-2020 ($2,440) data are not available. Prepare the journal entry to record the change in accounting principle. (Ignore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in thousands.) Required information (The following information applies to the questions displayed below.] Shown below are net income amounts as they would be determined by Weihrich Steel Company by each of three different inventory costing methods (S in thousands). LIFO Pre-2020 2020 FIFO $2,960 830 $3,790 Average Cost $2.700 520 $3,220 580 $3,020 3. Assume that Weihrich used FIFO before 2021, and then in 2021 decided to switch to LIFO cost. Weihrich's records of inventory purchases and sales are not available for several previous years. Therefore, the pre-2020 LIFO information ($2.440) is not available. However, Weihrich does have the information needed to apply LIFO on a prospective basis beginning in 2020. Prepare the journal entry to record the change in accounting principle. (Ignore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands.)

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