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Daniel Company uses a periodic inventory system. Data for 2015: beginning merchandise inventory (December 31, 2014), 2,150 units at $35; purchases, 7,830 units at $37; expenses (excluding income taxes), $193,400; ending inventory per physical count at December 31, 2015, 1,610; sales, 8,370 units; sales price per unit, $76; and average income tax rate, 30 percent.

5.

value:

1.00 points

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Required:1.Compute cost of goods sold and prepare income statements under the FIFO, LIFO, and average cost inventory costing methods.(Do not round your intermediate calculations.)

rev: 11_12_2013_QC_39894, 03_11_2014_QC_46543, 03_14_2014_QC_46543, 11_06_2014_QC_56544

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6.

value:

1.00 points

Required information

2.Between FIFO and LIFO, which method is preferable in terms of (a) net income and (b) income taxes paid (cash flow)?

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7.

value:

1.00 points

Required information

3.Between FIFO and LIFO, which method is preferable in terms of (a) net income and (b) income taxes paid (cash flow), assuming that prices were falling?