USPUSID 636%20filename 293DUTF-8% 17.ABC Company started operations on January 1, 2015. On that day, the company purchased inventory at 58/unit. The inventory cost gradually decreased to $7/unit by the end of the year, and the company had an ending inventory balance. The company has decided to employ the LIFO inventory method. In comparison to FIFO, determine the COGS. A.Below FIFO B.Above FIFO C.Equal to FIFO D.Can't be determined from the information provided 18.The cost flow assumption that results in inventory on the balance sheet stated closest to the current cost of the inventory is ALIFO B.FIFO C.Average Cost D.None of the above 19. Which of the following is a benefit of the LIFO cost flow assumption? A.In a period of rising prices, it results in the highest net income B.It provides the best matching between revenues and current costs on the income statement C.It provides the best valuation of inventory at current cost on the balance sheet D.Both A and B E. Both B and C Use the following information for Questions 20-21. ABC company has a balance of $400,000 in accounts receivable and a $15,000 credit balance in the allowance for doubtful accounts at the close of business on 12/1/15. Immediately on 12/2/15, a customer notified ABC that they would be unable to pay their balance of $3,000, and thus ABC wrote off the customer's account. Based upon the given information, determine the following: 20. Bad debt expense included in the journal entry to record the write-off A.SO B.$3.000 C$15,000 D.$382.000 E S385,000 FS388.000 21.Net realizable value of accounts receivable immediately after recording the write-off. A SO B$3.000 C.$15,000 D.$382,000 E.$385,000 F.$388,000