Goodee Bakery is considering a change in its inventory valuation method. Goodee Bakery currently uses the...

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Answer 1

Answer #1

Lifo reserve on December 31 = 25,600 - 21,300

= 4,300

Lifo reserve on January 1 = 23,500 - 21,000

= 2,500

Lifo effect = 4,300 - 2,500

= 1,800

Option C is the answer

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Answer 2

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