The management of Splish Brothers Inc. is reevaluating the appropriateness of using its present inventory cost flow method, which is average cost. The company requests your help in determining the results of operations for 2022 if either the FIFO or the LIFO method had been used. For 2022, the accounting records show these data: Inventories Beginning (8,750 units) Ending (21,250 units) $17,500 Purchases and Sales Total net sales (225,000 units) Total cost of goods purchased (237,500 units) $933,750 558,750 Purchases were made quarterly as follows. Quarter Units Unit Cost Total Cost 1 $2.10 62,500 50,000 2 2.25 3 2.40 50,000 75,000 $131,250 112,500 120,000 195,000 $558,750 4 2.60 237,500 Operating expenses were $130,000, and the company's income tax rate is 40%. Condensed Income Statements For the Year Ended December 31, 2022 FIFO LIFO Sales Revenues $ $ 933750 $ $ 933750 Cost of Goods Sold Beginning Inventory 17500 17500 Cost of Goods Purchased V 558750 558750 Cost of Goods Available for Sale 576250 576250 Ending Inventory 55250 44625 Cost of Goods Sold 521000 531625 Gross Profit/(Loss) Operating Expenses 130000 130000 Income before Income Taxes Income Tax Expense $ Net Income /(Loss) $ $