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Required information Use the following information for the Exercises below. (The following information applies to the questions displayed below Laker Company reported the following January

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Required information Use the following information for the Exercises below. (The following information applies to the questions displayed below Laker Company reported the following January purchases and sales data for Its only product. Un its sold at Units Aequired at Cost 140 units $6.00 Jan. 1 Beginning inventory Jan.10 Sales Jan. 20 Purchase Jan. 25 Sales Jan. 30 Purchase 840 60 units e $5.00300 180 unitse .50810 100 unitse s15 80 units $15 Totals 300 units 1,950 100 units The Company uses a perpetual Inventory system. For specific identification, ending Inventory consists of 200 units, where 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from beginning Inventory Exercise 6-4 Perpetual: Income effects of inventory methods LO A1 Required: 1. Complete comparative income statements for the month of January for Laker Company for the four Inventory methods. Assume expenses are $1.250, and that the applicable income tax rate is 40% (Round your intermediate calculations to 2 decimal places.) LAKER COMPANY 4 The Company uses a perpetual Inventory system. For specific Iidentification, ending Inventory consists of 200 unts, where 180 are from the January 30 purchase, 5 are from the January 20 purchase, and 15 are from beginning Inventory art 2 of 2 Exercise 64 Perpetual: Income effects of inventory methods LO A1 _ Required: 1. Complete comparative Income statements for the month of January for Laker Company for the four Inventory methods Assume expenses are $1,250, and that the applicable income tax rate is 40%. (Round your Intermediate calculations to 2 decimal places.) Income Statements For Month Ended January 31 eBook Weighted Hint Sales Cost of goods sold Gross profit Expenses Income before taxes Income tax expense Net income Print ference Required information 2. Which method ylelds the highest net Income? O FIFO O Welghted average O LIFO O Spectfic Identfication 3. Does net income using weighted average fall between that using FIFO and LIFO? O No O Yes 4. If costs were rising Instead of falling, which method would yield the highest net income? O Specific identfication O LIFO Weighted average O FIFO

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