Mills Abrams Manufacturing Company changed its method of accounting for inventory from the average-cost method to the LIFO basis as of the beginning of the current year. It still uses the average-cost method for tax purposes. The company is subject to a 40% tax rate. Cumulative cost of goods sold reported prior to the current year is $ 140,000 under the average- cost method and it would have been $ 300,000 if Mills had always used the LIFO method. Prepare the journal entry to record the change in method. .