LIFO Choices Wilkens Company uses the LIFO method for inventory costing. In an effort to lower net..

LIFO Choices Wilkens Company uses the LIFO method for inventory costing. In an effort to lower net income, company president Lenny Wilkens tells the plant accountant to take the unusual step of recommending to the purchasing department a large purchase of inventory at year-end. The price of the item to be purchased has nearly doubled during the year, and the item represents a major portion of inventory value. Answer the following questions.

 

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