Change in Accounting Principle Zehms Company began operations in 2008 and adopted weighted-average pricing for inventory. In
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(a) What is Zehmss net income in 2010? Assume a 35% tax rate in all years.
(b) Compute the cumulative effect of the change in accounting principle from weight-average to FIFO inventory pricing
(c) Show comparative income statements for Zehms Company, beginning with income before income tax, as presented on the 2010 incomestatement.
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