Question: This exercise should be used in conjunction with Short Exercise. Jefferson is a corporation subject to a 30% income tax. Compute Jeffersons income tax expense

This exercise should be used in conjunction with Short Exercise. Jefferson is a corporation subject to a 30% income tax. Compute Jefferson’s income tax expense under the average, FIFO, and LIFO inventory costing methods. Which method would you select to?

(a) Maximize income before tax

(b) Minimize income tax expense?

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