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Cheyenne, Inc. began operations on January 1, 2015, and uses the average cost method of pricing inventory. Management is considering changing inventory methods for 2018. The following information is available for the years 20152017.

		Net Income Computed Using
		Average Cost		FIFO		LIFO
2015		$72,600		$75,900		$68,200
2016		103,800		106,900		100,900
2017		115,450		118,900		112,000

(a)

Your answer is partially correct.

Prepare the journal entry necessary to record a change from the average-cost method to the FIFO method in 2018. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount

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List of Accounts

Attempts: unlimited

(b)

The parts of this question must be completed in order. This part will be available when you complete the part above.

(c)

The parts of this question must be completed in order. This part will be available when you complete the part above.

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