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Sheffield Company's inventory records show the following data: A physical inventory on December 31 shows 3700 units on hand. Sheffield sells the units for $13 each. The company has an effective tax rate of 20%. Sheffield uses the periodic inventory method. What is the difference in taxes if LIFO rather than FIFO is used? $1542 additional taxes $1748 tax savings $1748 additional taxes $2516 additional taxes.

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Sheffield Company's inventory records show the following data: A physical inventory on December 31 shows 3700 units on hand. Sheffield sells the units for $13 each. The company has an effective tax rate of 20%. Sheffield uses the periodic inventory method. What is the difference in taxes if LIFO rather than FIFO is used? $1542 additional taxes $1748 tax savings $1748 additional taxes $2516 additional taxes

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