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The following information can be found on XYZ's financial statements Assume a tax rate of 31 percent. Inventories valued using the LIFO method represented approximately
The following information can be found on XYZ's financial statements Assume a tax rate of 31 percent. Inventories valued using the LIFO method represented approximately 75 percent of consolidated inventories. 2019 2020 Finished goods 452,627 550,480 Work-in-process 397,241 415,222 Raw materials 199,450 202,741 Total FIFO value of inventory 1,049,318 1,168,443 Less excess of current cost over stated LIFO value of Inventory 96,421 117,563 Total inventories 952,897 1,050,880 Retained earnings 4,962,322 5,247,568 | 1. What will be the value of inventory for 2020 if XYZ used FIFO valuation for all of its inventory? 2. What will be the retained earnings for 2019 if XYZ used FIFO valuation for all of its inventory? 3. What will be the retained earnings for 2020 if XYZ used FIFO valuation for all of its inventory
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