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Zehms company began operations in 2017 and adopted weighted-average pricing for inventory. In 2019, in accordance with other companies in its industry, Zehms changed its
Zehms company began operations in 2017 and adopted weighted-average pricing for inventory. In 2019, in accordance with other companies in its industry, Zehms changed its inventory pricing to FIFO. The pretax income date is reported below. A) What is Zehm's net income in 2019? Assume a 35% tax rate in all years. A) What is Zehm's net income in 2019? Assume a 35% tax rate in all years. B) Compute the accumulative effect of the change in accounting principle from weighted- average to FIFO inventory pricing. C) Show comparative IS, beginning with income before income tax, as presented on 2019 income statement
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