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):

17,500 units @ $15	$	262,500
22,500 units @ $20		450,000
Beginning inventory	$	712,500

During 2021, 45,000 units were purchased for $25 per unit. Due to unexpected demand for the company's product, 2021 sales totaled 55,000 units at various prices, leaving 30,000 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 $25 per unit at the end of the year, how much income tax currently payable would be saved?

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