Scoresby Inc. uses a perpetual inventory system. At December 31, 2018, the company's accounting records provided the following information for Product B: Required: 1. Prepare a statement of earnings for 2018 through pretax earnings, showing the detailed computation of cost of sales for two cases: (Round intermediate calculations to 2 decimal places.) a. Case A-FIFO b. Case B-Weighted average. 2. Compare the two cases with regard to the pretax earnings and the ending inventory amounts. 3. Which inventory costing method may be preferred for income tax purposes? FIFO Weighted average 4. Prepare journal entries to record transactions (b) through (e), assuming that Scoresby uses FIFO for inventory costing. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)