Question: Esquire Inc. uses the LIFO method to report its inventory. Inventory at January 1, 2021, was $780,000 (39,000 units at $20 each). During 2021, 118,000

Esquire Inc. uses the LIFO method to report its inventory. Inventory

Esquire Inc. uses the LIFO method to report its inventory. Inventory at January 1, 2021, was $780,000 (39,000 units at $20 each). During 2021, 118,000 units were purchased, all at the same price of $29 per unit. 121,000 units were sold during 2021. Assuming an income tax rate of 25%, what is LIFO liquidation profit or loss that the company would report in a disclosure note accompanying its financial statements? Answer is complete but not entirely correct. LIFO liquidation profit (loss) $ 18,750

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