Springer Anderson Gymnastics prepared its annual financial statements dated December 31. The company reported its inventory using the LIFO inventory costing method but did not compare the cost of its ending inventory to its market value (replacement cost). The preliminary income statement follows Sales Revenue Cost of Goods Sold $146,000 Beginning Inventory $ 16,500 94,000 Purchases Goods Available for Sale 110,500 25,730 Ending Inventory 84,770 61,230 32,500 28,730 11,492 $ 17,238 Cost of Goods Sold Gross Profit Operating Expenses Income from Operations Income Tax Expense (40%) Net Income Assume that you have been asked to restate the financial statements to incorporate the LCM/NRV rule. You have developed the following data relating to the ending inventory: Purchase Cost Total $5,445 2,800 8,740 8,745 $25,730 Replacement Cost per Unit $4.30 2.30 1.15 3.30 Per Unit $3.30 Item Quantity 1,650 700 3,800 1,650 4.00 2.30 5.30 Complete this question by entering your answers in the tabs below Required 1 Required 2 Restate the income statement to reflect LCM/NRV valuation of the ending inventory. Apply LCM/NRV on an item-by-item basis. SPRINGER ANDERSON GYMNASTICS Income Statement (LCM/NRV basis) For the Year Ended December 31 Sales Revenue $146,000 Cost of Goods Sold: Begining Inventory 16.500 $ 16,500 94,000 110,500 Purchases Goods Available for Sale Ending Inventory Cost of Goods Sold Gross Profit Operating Expenses ncome from Operations Income Tax Expense Net Income