Reference no: EM131360516

Question a) Calculate the firm's ROI under each cost flow assumption (FIFO and LIFO). (Enter your answers as percentages rounded to 1 decimal place (i.e., 12.2%).) please see attached document for more information.

Question b) Suppose that two years later costs and prices were falling. Under FIFO, net income and average assets were $1,800,000 and $12,000,000, respectively. If LIFO had been used through the years, inventory values would have been $200,000 less than under FIFO, and current year cost of goods sold would have been $100,000 less than under FIFO. Calculate the firm's ROI under each cost flow assumption (FIFO and LIFO). (Enter your answers as percentages rounded to 1 decimal place (i.e., 12.2%).) please see attached document for more information