Speed World Cycles sells high-performance motorcycles and motocross racers. One of Speed World's most popular models is the Kazomma 900 dirt bike. During the current year, Speed World Cycles purchased eight of these bikes at the following costs. Purchase Date July 1 July 22 Aug. 3 Units Purchased 2 3 3 Unit Cost $4,950 5,000 5,100 Total Cost $ 9,900 15,000 15,300 $ 40,200 8 On July 28, Speed World Cycles sold four Kazomma 900 dirt bikes to the Vince Wilson racing team. The remaining four bikes remained in inventory at September 30, the end of Speed World's fiscal year. Assume that Speed World Cycles uses a perpetual inventory system. (See the data provided.) Required: a-1. Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using Average cost. a-2. Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using FIFO method. a-3. Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using LIFO method. b-1. Which of the three cost flow assumptions will result in Speed World Cycles reporting the highest net income for the current year? b-2. Which of the three cost flow assumptions minimizes the income taxes owed by Speed World Cycles for the year? b-3. May Speed World Cycles use the cost flow assumption that results in the highest net income for the current year in its financial statements, but use the cost flow assumption that minimizes taxable income for the current year in its income tax return? X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req A3 Req B1 Req B2 Req B3 Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using Average cost. $ Cost of goods sold Ending inventory 20,100 X 20,100 X $ Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req A3 Req B1 Req B2 Req B3 Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using FIFO method. Cost of goods sold Ending inventory 6 | 19,900 20,300 X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req A3 Req B1 Req B2 Req B3 Compute the cost of goods sold relating to the sale on July 28 and the ending inventory of Kazomma 900 dirt bikes at September 30, using LIFO method. $ 19,950 Cost of goods sold Ending inventory $ 20,250 X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req A3 Req B1 Req B2 Req B3 Which of the three cost flow assumptions will result in Speed World Cycles reporting the highest net income for the current year? The cost flow assumption which will result in the highest net income is X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Reg A2 Req A3 Req B1 Req B2 Req B3 Which of the three cost flow assumptions minimizes the income taxes owed by Speed World Cycles for the year? The cost flow assumption which will minimize the income taxes is X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A1 Req A2 Req A3 Req B1 Req B2 Req B3 May Speed World Cycles use the cost flow assumption that results in the highest net income for the current year in its financial statements, but use the cost flow assumption that minimizes taxable income for the current year in its income tax return? Speed World may use different cost flow assumptions for its financial statements and income tax return