1) Swifty Company uses the LIFO method for financial reporting purposes but FIFO for internal reporting purposes. At January 1, 2020, the LIFO reserve has a credit balance of $1,415,000. At December 31, 2020, Swiftys internal reports indicated that the FIFO inventory balance was $3,129,000 and for external reporting purposes the LIFO inventory balance was $1,616,500. What is the amount of the LIFO reserve and the LIFO effect related to 2020? LIFO reserve at December 31, 2020 $enter a dollar amount LIFO effect for 2020 What is the journal entry needed to record the LIFO effect at December 31, 2020?

2) Crane, Inc. uses the dollar-value LIFO method of computing its inventory. Data for the past 3 years follow. Year Ended December 31 Inventory at Current-Year Cost Price Index

2019 $19,600 100

2020 21,420 105

2021 25,200 112

Compute the value of the 2020 and 2021 inventories using the dollar-value LIFO method.

2020 2021 Inventory under LIFO