5. [Inventory methods; basic relationships; impact on turnover ratio] The Renemax Company begins operations on December 31, 20X0, with $500 of inventory, enough for one month's (Jan- uary 20X1) sales. During 20X1, the company maintains its in- ventory at one month's sales. Monthly sales (in units) are constant, and the company replenishes inventory cach month. At the end of 20X1, Renemax must choose an inventory method. The following additional information is available: The cash flow difference between the FIFO and LIFO methods is $400. (Note: You do not know which is higher.) The COGS is $12,000 using the weighted-average method. The company's tax rate is 40%. Prices change only in one direction during the year.

a. Using the information provided, fill in the following blanks: