Super Company uses a periodic inventory system. Data for the current year: beginning merchandise inventory (ending inventory December 31, prior year), 2000 units at $38; purchases, 8000 units at $40; expenses (excluding income taxes), $194,500; ending inventory per physical count at December 31, current year, 1800 units; sales, 8200 units; sales price per unit, $75; an average income tax rate, 30%. Compute Cost of Goods Sold and prepare an income statements under the FIFO, LIFO and average cost inventory costing methods Cost of goods sold Units FIFO LIFO Average Cost Beginning inventory Purchases Goods available for sale Ending inventory Cost of goods sold* Income statement FIFO LIFO Average Cost Sales revenue Cost of goods sold Gross profit Expenses Pretax income Income tax expense (30%) Net income Between FIFO and LIFO, which method is preferable in terms of (a) net income and (b) income taxes paid (cash flow)? Explairn