Chide Inc. changed its inventory method to LIFO eective January $1.$ During December, Chides storage facility was shut down due to a strike resulting in a drastic reduction in inventory. The following data are available.UnitsUnit CostBeginning inventory $($Base layer of LIFOJanuary $1)20,000$$$1\mathrm{.}00$Inventory purchases during the year$450,0001\mathrm{.}25$Total cost of goods sold available for sale$470,000$Goods sold $($valued on a LIFO basis$)$ from:Purchases layer$450,0001\mathrm{.}25$Base inventory layer$10,0001\mathrm{.}00$Total cost of goods sold$460,000$Ending inventory $($December $31)10,000$a$.$ What is the eect of the LIFO liquidation on after$-$tax prot or loss assuming a $25\%$ tax rate?$Answer $1$ Answer $2$b$.$ What is the accounting explanation for LIFO liquidation?