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Swifty Company began operations in 2019 and determined its ending Inventory at cost and at lower-of-LIFO cost-or-market at December 31, 2019, and December 31, 2020

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Swifty Company began operations in 2019 and determined its ending Inventory at cost and at lower-of-LIFO cost-or-market at December 31, 2019, and December 31, 2020 This information is presented below: Cost Lower-of-Cost-or-Market 12/31/19 $358,190 $339,480 12/31/20 423,900 408,920 (a) Prepare the journal entries required at December 31, 2019, and December 31, 2020, assuming that the inventory is recorded at market, and a perpetual loventory system (cost-of-goods-sold method) is used. (Credit account titles aile automatically indented when amount is entered. Do not indent manually. If no entry is required select "No entry for the account tities and enter for the amounts.) Date Account Titles and Explanation Debit Credit 12/31/19 Cost of Goods Solo Licha Grer cop Inventory 12/31/20 cost of Goods Sold Inventory en she 0022 (b) Prepare uma entres required at December 31, 2019, and December 31, 2020, assuming that the inventory is recorded at market under a perpetua system for method used) (Credit accountities are automatically indented when amount is entered. Do not indent manually. If no entry is required select "No entry" for the account titles and enter for the amounts) Date Account Tities and Explanation Debit Credit 12111 loss on inventory valuation Inventory wing that the inventory is recorded at market, and a perpetual invent titles are automatically indented when amount is entered. Do not indent manually. If no entry is Select "No entry for the account titles and enter o for the amounts.) Date Account Tities and Explanation Debit Credit 12/31/19 Cost of Goods Sold Inventory 12/31/20 Cost of Goods Sold Inventory (b) Prepare journal entries required at December 31, 2019, and December 31, 2020, assuming that the inventory is recorded at market under a perpetual system (loss method is used). (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required select "Ne entry" for the account tities and enter for the amounts.) Date Account Tities and Explanation Debit Credit 12/31/19 oss on inventory valuation Inventory 12/31/20 loss on inventory valuation Inventory (c) Which of the two methods above provides the higher et income in each year

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