Net Income Retained Earnings (Ending Balance) Under Average-Cost $ 90,000 65,000 Under FIFO Under FIFO $100,000 70,000 90,000 120,000 300,000 305,000 $100,000 160,000 235,000 340,000 590,000 780,000 2012 2013 80,000 130,000 290,000 310,000 2014 2015 2016 2017
(Accounting Change) Gordon Company started operations on January 1, 2012, and has used the FIFO method of
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(a) What is the beginning
(b) What is the beginning retained earnings balance at January 1, 2017, if Gordon prepares comparative financial statements starting in 2017?
(c) What is the beginning retained earnings balance at January 1, 2018, if Gordon prepares single-period financial statements for 2018?
(d) What is the net income reported by Gordon in the 2017 income statement if it prepares comparative financial statements starting with 2015?
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