Aber Company manufactures one product. On December 31, 2016, Aber adopted the dollar-value LIFO inventory method. The inventory on that date using the dollar-value LIFO inventory method was $900,000. Inventory data are as follows:

Inventory at Price index

Year year-end prices (base year 2016)

2017 $1,260,000 1.05

2018 1,265,000 1.15

2019 1,560,000 1.25

2020 1,846,000 1.30

Instructions

1. Compute the inventory at December 31, 2017, 2018, 2019 and 2020, using the dollar-value LIFO method for each year.
2. Record any necessary entries to report the inventory correctly.