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The following information pertains to BAxter Company for 2013:
Ending inventory of 40 units. Baxter sold 370 units at $30 each. All purchases ands sales were made with cash.a. Compute the Gross margin fro Baxter Company using the following cost flow assumptions:(1) FIFO (2) LIFO (3) weighted averageb. What is the dollar amount of differences in net income between using FIFO versus LIFO? Ignore income tax considerationsc. Determine the cash flow from operating activities, using each of the three cost flow assumptions listed in Requirement a. Ignore the effect of income taxes. Explain why these cash flows have no difference.
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