9) Nueva reported the following pretax data for its first year of operations 7,340 5,790 1,728 40 % Net sales Cost of goods available for sale Operating expenses Effective tax rate Ending inventories: If LIFO is elected If FIFO is elected 618 798 What is Nueva's gross profit ratio (rounded) if it elects FIFO? B) 32%. D) 10.7%. c) 3096. A) 6096. 10) In a period when costs are falling and inventory quantities are stable, the lowest taxable 10)_ income would be reported by using the inventory method of A) Moving average C) Weighted average. B) FIFO. D) LIFO. 11)2 11) If a company uses LIFO, a LIFO liquidation causes a company's income taxes to increase: A) LIFO liquidations have no effect on a company's income taxes B) Whether inventory purchase costs are declining or rising. C) When inventory purchase costs are rising D) When inventory purchase costs are declining. e Ba