Berg Company began operations on January 1, 2019, and uses the FIFO method in costing its raw materials inventory. During 2020, management is contemplating a change to the LIFO method and is interested in determining what effect such a change will have on net income. Accordingly, the following information has been developed:

Required:
What is the effect on income before income taxes in 2020 of a change to the LIFO method?

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2019 2020 FIFO-ending inventory LIFO-ending inventory Income before income taxes (computed under the FIFO method) $240,000 $270,000 210,000 170,000 120,000