A gasoline distributor had 100,000 gallons of gasoline valued at $2.80/gallon. They bought 100,000 more gallons at $2.60/gallon, and subsequently 100,000 more gallons at $2.90 each. After that, they sold 150,000 gallons at $3.10 each. Their selling and administrative expenses are $12,000 and their tax rate is 20%. Will they pay more taxes if they value their inventory using FIFO or LIFO, and what will he the difference between the two methods?