Taveras Co.decides at the beginning of 2020 to adopt the FIFO method of inventory valuation. Taveras had used the LIFO method for financial reporting since its inception on January 1, 2018, and had maintained records adequate to apply the FIFO method retrospectively. Taveras concluded that FIFO is the preferable inventory method because it reflects the current cost of inventory on the balance sheet. The following table presents the effects of the change in accounting principles on inventory and cost of goods sold. Income taxes are ignored. Date Inventory Determined by Cost of Goods Sold Determined by LIFO Method FIFO Method LIFO Method FIFO Method $0 $0 $0 100 800 820 $0 80 January 1, 2018 December 31, 2018 December 31, 2019 December 31, 2020 200 240 1,000 940 320 390 1,130 1,100 Retained earnings reported under LIFO are as follows. Retained Earnings Balance $1,200 December 31, 2018 December 31, 2019 December 31, 2020 2,200 3,070 Other information: 1. For each year presented, sales are $3,000 and operating expenses are $1,000. Other information: 1. For each year presented, sales are $3,000 and operating expenses are $1,000. 2. Taveras provides two years of financial statements. Earnings per share information is not required. Prepare income statements under LIFO for 2018, 2019, and 2020. TAVERAS CO. Income Statement For the Year Ended December 31 LIFO 2018 2019 2020 $ $ $ Prepare income statements under FIFO for 2018, 2019, and 2020. TAVERAS CO. Income Statement For the Year Ended December 31 FIFO Prepare income statements under FIFO for 2018, 2019, and 2020. TAVERAS CO. Income Statement For the Year Ended December 31 FIFO 2018 2019 2020 $