Taylor Corporation reports inventory and cost of goods sold based on calculations from a LIFO periodic inventory system. The companys records under this system reveal the following inventory layers at the beginning of 2021 (listed in chronological order of acquisition):

18,000 units @ $10	$	180,000
23,000 units @ $15		345,000
Beginning inventory	$	525,000

During 2021, 46,000 units were purchased for $20 per unit. Due to unexpected demand for the company's product, 2021 sales totaled 56,000 units at various prices, leaving 31,000 units in ending inventory. Required: 1. Calculate the amount to report for cost of goods sold for 2021. 2. Determine the amount of LIFO liquidation profit that the company must report in a disclosure note to its 2021 financial statements. Assume an income tax rate of 25%. 3. If the company decided to purchase an additional 10,000 units at $20 per unit at the end of the year, how much income tax currently payable would be saved?

Cost of goods sold |2. LIFO liquidation profit 3 Income tax payable