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The Churchill Corporation uses a periodic inventory system and the LIFO inventory cost method for its one product. Beginning inventory of 21,800 units consisted of
The Churchill Corporation uses a periodic inventory system and the LIFO inventory cost method for its one product. Beginning inventory of 21,800 units consisted of the following, listed in chronological order of acquisition 12,900 units at a cost of $7.00 per unit $90,300 8,900 units at a cost of $8.00 per unit 71,200 During 2018, inventory quantity declined by 11,800 units. All units purchased during 2018 cost $11.00 per unit. Required: Calculate the before-tax LIFO liquidation profit or loss that the company would report in a disclosure note assuming the amount determined is material. LIFO liquidation profit
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