CWB Teleconcepts, Inc. manufactures and distributes three models of handheld devices: the Flame, the Globe, and the HD3. CWB uses the dollar-value LIFO method. Information for 2018, 2019, and 2020 is presented in the following table.

The cumulative price indices for 2018, 2019, and 2020, respectively are 1.00, 1.056, and 1.1155.

Required

a. Compute the company's ending inventory using dollar-value LIFO for each year. Treat the three models as one group. Round to the nearest dollar.

b . Prepare the journal entry required to adjust the LIFO reserve for each year.

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Base Year: 2018 2019 2020 Descríption Total FIFO Cost Total FIFO Cost Total FIFO Inventory Units Cost Units Units 4,000 Fame 7,000 5,000 5,000 $450,000 $658,000 $392,000 5,000 6 000 Globe 660,000 580,000 3,000 375.000 170,000 450,000 1,000 HD3 3.000 800,000