The records of Lovett Aviation include the following accounts for inventory of aviation parts at 31 the current year mick the icon to view the records) Read the requirements Requirement 1. Prepare a portal income statement through gross proht under towerage, FIFO and LIFO methods. Round wwerage cost per unit to take docmai cheon and tower amount to the nearest delat Lovett Aviation Partial Income Statement Year Ended July 31 Average cout FIFO UFO Gross pro Requirement 2. Which inventory method would you use to minimic income tax? Explain why this method causes income tax to be the lowest Use the method to minimize income tax because cost of goods sold is highest gross profiter whether Aviation ne sell - Data table ast $ Aug Noy Inventory 4.200 2600 uus 1 Balance 700 units 5 Purchase 400 units 24 Purchase 7.300 units B Purchase 600 units @ $ 6.00 @ $ 6.50 @ $ 700 @ $ 8.50 Jan 51,100 metall Apr 5,100 Sales Revenue Jul 31 8.050 units $117.530 Print Done - X Requirements 1. Prepare a partial income statement through gross profit under the average, FIFO, and LIFO methods. Round average cost per unit to two decimal places and all other amounts to the nearest dollar. 2. Which inventory method would you use to minimize income tax? Explain why this method causes income tax to be the lowest. Print Done