[The following information applies to the questions displayed below.] Shown below are net income amounts as they would be determined by Weihrich Steel Company by each of three different inventory costing methods ($ in thousands). FIFO Average Cost LIFO Pre-2020 $ 2,800 $ 2,540 $ 2,280 2020 750 600 540 $ 3,550 $ 3,140 $ 2,820

Required: 1. Assume that Weihrich used FIFO before 2021, and then in 2021 decided to switch to average cost. Prepare the journal entry to record the change in accounting principle. (Ignore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands.)

Journal entry worksheet

• Record the change in accounting principle.

Note: Enter debits before credits.

Event	General Journal	Debit	Credit
1