show the effect of the transaction on each element

I=increase

D=decrease

N=no effect

6. (Ch. 5) How would switching from FIFO to LIFO affect a company's financial statements in a period of rising prices (i.e., an inflationary economy)? Remember to give consideration to tax implications. Assets Liabilities Equity Revenues Expenses Net Cash After a physical count of its inventory, Whetzel Co. discovered that $400 of inventory is Show how the required write-down of inventory would affect Whetzel Co.s statements 7. Assets Liabilities Equity Revenues Expenses Net Income 8. Banks Company recognized $3,000 of depreciation expense on a delivery van. Assets Liabilitics Equity Revenues Expenses Net Cash Income (D) (N) (D) ND(D)(N) 9. In preparing the bank reconciliation for Heath Company, a company employee found that the bank statement included an NFS check that the company had received from a customer paying its account at Heath Company Cash Assets Liabilities Equity Revenues Expenses Net Stan's Surf Shack purchased 5 surfboards for $200 each. Later it purchased 2 more surfboards for $250 each. Stan's uses the perpetual inventory system. Assume that 6 surfboards were sold during the period for $350 cash each. 10. How would the sale affect the financial statements if Stan's Surf Shack uses the LIFO inventory cost flow method? Assets Liabilities Equity Revenues Expenses Nt Cash Income