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Bettencourt Clothing Corporation uses a periodic inventory system and the LIFO cost method. The company...

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Accounting

Bettencourt Clothing Corporation uses a periodic inventory system and the LIFO cost method. The company began 2024 with the following inventory layers (listed in chronological order of acquisition):
5,700 units @ $11 per unit $ 62,700
8,700 units @ $13 per unit 113,100
Beginning inventory $ 175,800
During 2024,20,700 units were purchased for $16 per unit. Sales for the year totaled 31,400 units at various prices, leaving 3,700 units in ending inventory.
Required:
Calculate cost of goods sold for 2024.
Determine the amount of LIFO liquidation profit that the company must report in a disclosure note to its 2024 financial statements, assuming the amount is material. Assume an income tax rate of 25%.

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