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Unity Copy Centre Ltd. uses laser printers. The company started the year with 100 containers of ink (weighted average cost of $9.30 each, FIFO cost

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Unity Copy Centre Ltd. uses laser printers. The company started the year with 100 containers of ink (weighted average cost of $9.30 each, FIFO cost of $8.90 each). During the year, Unity Copy Centre purchased 600 containers of ink at $10.30 each and sold 580 units for $21.00 each. The company paid operating expenses throughout the year, a total of $3,100. Unity Copy Centre's income statement-excluding the effects of income tax under each of the weighted average-cost and FIFO inventory costing methods- is given. Unity Copy Centre is a corporation subject to a 21% income tax. PER (Click the icon to view the income statement.) Compute Unity Copy Centre's income tax expense under the weighted average cost and FIFO inventory costing methods. Which method would you select to (a) maximize income before tax and (b) minimize income tax expense? Compute Unity Copy Centre's income tax expense using the weighted-average-cost and FIFO inventory costing methods. (Round your answer to the nearest whole dollar.) Unity Copy Centre Ltd. Income Statement For the Year Ended December 31, 2017 Weighted - Average Cost Sales revenue 12,180 $ Cost of goods sold 5,893 Gross profit $ 6,287 $ Operating expenses 3,100 Net income before tax $ 3,187 $ FIFO 12,180 5,834 6,346 3,100 3,246 Income tax expense Which method would you select to (a) maximize income before tax and (b) minimize income tax expense? (a) The income before taxes is maximized by using the method of inventory costing. (b) The income taxes are minimized by using the method of inventory costing. Income Statement Unity Copy Centre Ltd. Income Statement For the Year Ended December 31, 2017 FIFO Sales revenue Weighted- Average cost $ 12,180 $ 5,893 $ 6,287 $ 3,100 $ 3,187 $ 12,180 5,834 Cost of goods sold Gross profit 6,346 3,100 Operating expenses 3,246 Net income before tax Print Done Which method would you select to (a) maximize income before tax and (b) minimize income tax expense? (a) The income before taxes is maximized by using the C- method of inventory costing. (b) The income taxes are minimized by using the ventory costing. FIFO weighted average cost Which method would you select to (a) maximize income before tax and (b) minimize income tax expense? (a) The income before taxes is maximized by using the method of inventory costing. (b) The income taxes are minimized by using the method of inventory costing. FIFO weighted average-cost

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