The following information is taken from Satin financial statements (amounts in thousands):
Inventory Footnote: If the first-in,first-out method of accounting for inventory had been used,inventory would have been approximately $26.9 million and $25.1 million higher than reported at 12/31/2010 and 12/31/2009,respectively.
Required:
a.Calculate what inventory would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.
b.What would net income for the year ended 12/31/2010,have been if the FIFO inventory method been used?
c.Calculate what stockholders' equity would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.

Question

The following information is taken from Satin financial statements (amounts in thousands):
  Inventory Footnote: If the first-in,first-out method of accounting for inventory had been used,inventory would have been approximately $26.9 million and $25.1 million higher than reported at 12/31/2010 and 12/31/2009,respectively.
Required:
a.Calculate what inventory would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.
b.What would net income for the year ended 12/31/2010,have been if the FIFO inventory method been used?
c.Calculate what stockholders' equity would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.

Quizplus · Accepted Answer

The Answer of The following information is taken from Satin financial statements (amounts in thousands):
  Inventory Footnote: If the first-in,first-out method of accounting for inventory had been used,inventory would have been approximately $26.9 million and $25.1 million higher than reported at 12/31/2010 and 12/31/2009,respectively.
Required:
a.Calculate what inventory would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.
b.What would net income for the year ended 12/31/2010,have been if the FIFO inventory method been used?
c.Calculate what stockholders' equity would have been at 12/31/2010 and 12/31/2009 had the FIFO inventory method been used.

The Following Information Is Taken from Satin Financial Statements (Amounts