Use the following data (in millions) for questions 1 through 4.

Table: Ouyang Inc. Financial Information (in millions)

Financial Information20132012Inventories483329LIFO reserve172148Total assets1,9281,783Retained earnings (RE)372298Sales6,3725,729Cost of goods sold (COGS)3,8293,518Net income (NI)7462

Also assume that the effective income tax rate for Ouyang Inc. is 30%.

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Question 1

1pts

If Ouyang Inc. had used FIFO instead of LIFO, the amount of inventory for 2013 would have been closest to:

Group of answer choices

872 million

819 million

762 million

722 million

655 million

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Question 2

1pts

If Ouyang Inc. had used FIFO instead of LIFO, the amount of cost of goods sold (COGS) for 2013 would have been closest to:

Group of answer choices

3,805 million

3,618 million

3,092 million

2,983 million

2,738 million

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Question 3

1pts

If Ouyang Inc. had used FIFO instead of LIFO, net income for 2013 would have been higher by an amount closest to:

Group of answer choices

28.9 million

26.3 million

24.7 million

16.8 million

13.4 million

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Question 4

1pts

If Ouyang Inc. had used FIFO instead of LIFO, the retained earnings for 2013 would have been higher by an amount closest to:

Group of answer choices

183 million

120.4 million

113.8 million

98.3 million

87.7 million

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Question 5

1pts

Ouyang Inc purchased some inventory in 2011 for $500. In 2012, the market value or net realizable value was $200 and Ouyang Inc wrote down the inventory value to $200. In 2013, it was determined that the market value or net realizable value was $1,000. Ouyang Inc's inventory balance will most likely be(under IFRS and U.S. GAAP separately):

Group of answer choices

IFRS: $200; U.S. GAAP: $200;

IFRS: $200; U.S. GAAP: $500;

IFRS: $1,000; U.S. GAAP: $500;

IFRS: $500; U.S. GAAP: $500;

IFRS: $500; U.S. GAAP: $200;