Emley Company has been using the average cost method of inventory valuation for 10 years, since it began operations. Its 2010 ending inventory was $40,000, but it would have been $60,000 if FIFO had been used. Thus, if FIFO had been used, Emley's income before income taxes would have been
a. $20,000 greater over the 10-year period.
b. $20,000 less over the 10-year period.
c. $20,000 greater in 2010.
d. $20,000 less in 2010.