Answer
Prab Robots, Inc would probably have reported more income if it had been on a FIFO basis.
Work Step by Step
For example, assuming its inventory as of December 31, 2009 was stated at 1,635,040. Its inventory under FIFO would have been 564,960 higher (2009) if FIFO had been used. On the other hand, the LIFO liquidation would not have occurred in 2007 or previous years because FIFO would have been used.
