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Vaughn Company's inventory records show the following data: Units Inventory, January 1 Purchases: June 18 November 8 10400 9200 5600 Unit Cost $9.20 7.00 6.00
Vaughn Company's inventory records show the following data: Units Inventory, January 1 Purchases: June 18 November 8 10400 9200 5600 Unit Cost $9.20 7.00 6.00 A physical inventory on December 31 shows 3600 units on hand. Vaughn sells the units for $12 each. The company has an effective tax rate of 20%. Vaughn uses the periodic inventory method. What is the difference in taxes if LIFO rather than FIFO is used? $2304 additional taxes O $1330 additional taxes $1536 tax savings O $1536 additional taxes
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