BE 911 Dollar-value LIFO retail

On January 1, 2018, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the following information:

	Cost	Retail
Beginning inventory	$ 40,800	$ 68,000
Net purchases	155,440	270,000
Net markups		6,000
Net markdowns		8,000
Net sales		250,000
Retail price index, end of year		1.02

BE 912 Dollar-value LIFO retail

This exercise is a continuation of BE 911. During 2019, purchases at cost and retail were $168,000 and $301,000, respectively. Net markups, net markdowns, and net sales for the year were $3,000, $4,000, and $280,000, respectively. The retail price index at the end of 2019 was 1.06. Estimating ending inventory in 2019 using the dollar-value LIFO retail method.

BE 913 Change in inventory costing methods

In 2018, Hopyard Lumber changed its inventory method from LIFO to FIFO. Inventory at the end of 2017 of $127,000 would have been $145,000 if FIFO had been used. Inventory at the end of 2018 is $162,000 using the new FIFO method but would have been $151,000 if the company had continued to use LIFO. Describe the steps Hopyard should take to report this change. What is the effect of the change on 2018 cost of goods sold?

BE 914 Change in inventory costing methods

In 2018, Wade Window and Glass changed its inventory method from FIFO to LIFO. Inventory at the end of 2017 is $150,000. Describe the steps Wade Window and Glass should take to report this change.