page 141, question 29
I choose B, because I think the retained earning will be affected by the net income which will be the difference of beginning LIFO reserve and ending LIFO reserve. The concept here will be the same as question 31. Additionally, can you guys tell me the reason for question 29 not including the tax affection?
page 142, question 34
i think the answer should be both A and B. Firms using LIFO instead of FIFO will affect COGS. Hence, as an analysts, should we adjust net income as well?
Thank you in advance.
I choose B, because I think the retained earning will be affected by the net income which will be the difference of beginning LIFO reserve and ending LIFO reserve. The concept here will be the same as question 31. Additionally, can you guys tell me the reason for question 29 not including the tax affection?
page 142, question 34
i think the answer should be both A and B. Firms using LIFO instead of FIFO will affect COGS. Hence, as an analysts, should we adjust net income as well?
Thank you in advance.