Question: Spando Apparel uses the LIFO inventory method for external reporting and for income tax purposes but maintains its internal records using FIFO. The following disclosure

Spando Apparel uses the LIFO inventory method for external reporting and for income tax purposes but maintains its internal records using FIFO. The following disclosure note was included in a recent annual report: Inventories ($ in millions): Total inventories LIFO reserve 2024 $ 682 (121) $ 561 2023 $ 661 (70) $ 591 The company's income statement reported cost of goods sold of $3,310 million for the fiscal year ended December 31, 2024. Required 1 Required 2 Required: 1. Spando adjusts the LIFO reserve at the end of its fiscal year. Prepare the December 31, 2024, adjusting entry to record the cost of goods sold adjustment. 2. If Spando had used FIFO to value its inventories, what would cost of goods sold have been for the 2024 fiscal year? Complete this question by entering your answers in the tabs below. Spando adjusts the LIFO reserve at the end of its fiscal year. Prepare the December 31, 2024, adjusting entry to record the cost of goods sold adjustment. Note: Enter your answers in millions. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
Spando Apparel uses the LIFO inventory method for external reporting and

Spando Apparel uses the tifo inventory method for externol reporting and for incorne tax purposes but maintains its internal fecords using FlFO. The following disclosure note was included in a rocent annuat report Iriventories (\$ in millions): The company's income statement reported cost of goods sold of $3,310 million for the fiscal year ended December 31,2024 Required: 1. Spando adjusts the LiFO reserve at the end of its fiscal year. Prepare the December 31, 2024, ad,usting entry to record the cest of goods solid odjustment. 2. If Spando hod used FIFO to value its inventories. what would cost of goods sold have been for the 2024 fiscal year? Complete this question by entering your answers in the tabs below. Spando adjusts the LFO reserve at the end of its fiscal year. Prepare the December 31, 2024, adjusting entry to record the cost of goods sold adjustment. Note: Enter your answers in milions, If no entry is required for a transaction/event, select "No journal entry required" in the first account field

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