(b) Determine net income to be reported for 2023, 2024, and 2025, after giving effect to the change in accounting principle. 2023 $ 2024 $ 2025 $ Save for Later (a) Net Income Your answer is correct. Attempts: 0 of 3 used. Submit Answer Prepare the journal entry necessary to record a change from the average-cost method to the FIFO method in 2026. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.)
(b) Determine net income to be reported for 2023, 2024, and 2025, after giving effect to the change in accounting principle. 2023 $ 2024 $ 2025 $ Save for Later (a) Net Income Your answer is correct. Attempts: 0 of 3 used. Submit Answer Prepare the journal entry necessary to record a change from the average-cost method to the FIFO method in 2026. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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please help me and dont give image in soutions thnx
Transcribed Image Text:Vaughn Company began operations on January 1, 2023, and uses the average-cost method of pricing inventory. Management is
contemplating a change in inventory methods for 2026. The following information is available for the years 2023-2025.
2023
2024
2025
Net Income Computed Using
FIFO Method
$19,120
Average-Cost Method
$15.990
17,880
20,090
(Ignore all tax effects.)
20,820
24,750
LIFO Method
$12,040
14,130
16,970
Transcribed Image Text:(b)
Determine net income to be reported for 2023, 2024, and 2025, after giving effect to the change in accounting principle.
2023 $
2024 $
2025
$
Save for Later
(a)
Net Income
Your answer is correct.
Inventory
Prepare the journal entry necessary to record a change from the average-cost method to the FIFO method in 2026. (Credit
account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required,
select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.)
Account Titles and Explanation
Retained Earnings
Debit
Attempts: 0 of 3 used
10730
Credit
Submit Answer
10730
Attempts: 1 of 3 used
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