The following information pertains to the inventory of Parvin Company for Year 3: January 1 April 1 Beginning inventory 400 units @ $15 Purchased 2,600 units @ $20 October 1 Purchased 1,200 units @ $21 During Year 3, Parvin sold 3,570 units of inventory at $42 per unit and incurred $16,700 of operating expenses. Parvin currently uses the FIFO method but is considering a change to LIFO. All transactions are cash transactions. Assume a 30 percent income tax rate. Parvin started the period with cash of $96,000, inventory of $6,000; common stock of $79,000. and retained earnings of $23,000. b. Determine the amount of income tax that Parvin would pay using each cost flow method. FIFO LIFO Income tax