Question
Gross Corporation adopted the dollar-value LIFO method of inventory valuation on Dec 31, 2019. Its inventory at that date was $1,100,000 and the relevant price
Gross Corporation adopted the dollar-value LIFO method of inventory valuation on Dec 31, 2019. Its inventory at that date was $1,100,000 and the relevant price index was 100. Information regarding inventory for subsequent years is as follows:
| Date | Inventory at Current Prices | Current Price Index |
| December 31, 2020 | $1,284,000 | 107 |
| December 31, 2021 | $1,450,000 | 125 |
| December 31, 2022 | $1,625,500 | 130 |
1. What is the cost of ending inventory December 31, 2020 under Dollar-value LIFO method?
2. What is the cost of ending inventory December 31, 2021 under Dollar-value LIFO method?
3. What is the cost of ending inventory December 31, 2022 under Dollar-value LIFO method?
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Financial Accounting The Impact On Decision Makers
Authors: Gary A. Porter, Curtis L. Norton
6th Edition
0324655231, 978-0324655230
