The president of Aggressive Ltd. has come to you for advice. Aggressive is a newly established company with prospects for high growth. Decisions must soon be made concerning accounting policies for external financial reporting. The following information pertains to the company's first year of operations (in thousands of dollars Revenue Purchases Closing inventory-FIFO Closing inventory-average cost Depreciation-straight line Depreciation-declining balance Development expense Amortization of development over five years Other expenses Income tax rate $57,000 21,375 7,125 5,700 2,550 5,100 2,550 510 5,525 2013 Requlred: 1. Prepare a columnar income statement. In column 1, show net income assuming the use of FIFO, declining balance depreciation, and expensing of development. In successive columns, show the individual impact of each of the following policy changes on net income: a. In column 2. average cost: b. In column 3. straight-line depreciation: c. In column 4 amortization of development, and d. In column 5, the combined effects of the alternatives presented separately in columns 2 through 4 (Negative amounts should be indicated by minus sign.) Income Average cost Amortization Deprec Revenue Cost of goods sold Depreciation Development Other expenses Total Sool 1-4 $ 0 0 0 g 0 $ 0 0 0 Earings before income tax 0 0 Income tax expense (20%) Earnings/effect of charge S 0$ S Os 03 0