Baker Corporation changed from the LIFO method to the FIFO method for inventory valuation during 2018 Baker has an effective income tax rate of 30 percent and 100,000 shares of common stock issued and outstanding. The following additional information is available Cost of goods sold FIFO Cost of goods sold LIFO $75,000 After-tay Difference Difference ..000- 22.750 5,200 Prior to 2018 1st quarter 2018 Net income before effect of accounting change 1st quarter 2017 1st quarter 2018 40,000 10,000 S 18,000 8,000 $ 300,000 S 500,000 Assuming Baker makes the change in the first quarter of 2018 and that $400,000 net income is earned during the second quarter, how much is reported as net income for the second quarter of 2018? A) S427,950 B) S894,850 C) S905,200 D) S400,000 E) S405,200