The management of Crane Inc. asks your help in determining the comparative effects of the FIFO and LIFO inventory cost flow methods. For 2025, the accounting records show these data. They use the periodic inventory system. Inventory, January 1 (12,500 units) $50,000 Cost of 129,000 units purchased 568,200 Selling price of 104,000 units sold Operating expenses 796,000 129,500 Units purchased consisted of 36,000 units at $4.20 on May 10, 67,000 units at $4.40 on August 15, and 26,000 units at $4.70 on November 20. Income taxes are 28%. (a) Prepare comparative condensed income statements for 2025 under FIFO and LIFO. Crane Inc. Condensed Income Statements For the Year Ended December 31, 2025 Sales Revenue Cost of Goods Sold Beginning Inventory Cost of Goods Purchased Cost of Goods Avallable for Sale Less Ending Inventory Cost of Goods Sold Gross Profit/(Loss) Operating Expenses Income before Income Taxes Income Tax Expense Net Income/(Loss) $ FIFO 796000 $ LIFO 796000 50000 50000 568200 568200 618200 618200 $ $