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Swifty Company's inventory records show the following data: Units Unit Cost Inventory: January 1 9700 $ 8.80 Purchases: June 18 8900 9.00 November 8 5800
Swifty Company's inventory records show the following data: Units Unit Cost Inventory: January 1 9700 $ 8.80 Purchases: June 18 8900 9.00 November 8 5800 6.00 A physical inventory on December 31 shows 3700 units on hand. Swifty sells the units for $ 13 each. The company has an effective tax rate of 20%. Swifty uses the periodic inventory method. What is the difference in taxes if LIFO rather than FIFO is used? $ 1532 additional taxes $ 2192 tax savings $ 2072 additional taxes $ 2192 additional taxes
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