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Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used to convert ending inventory to base year. The company
Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used to convert ending inventory to base year. The company began operations on January 1, 2018, with an inventory of $219,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended Ending Inventory Cost Index at Year-End Costs (Relative to Base Year) December 31 2018 $333,500 1.15 2019 1.25 426,250 2020 403,820 1.22 2021 395,300 1.18 Required: Calculate inventory amounts at the end of each year. (Round intermediate calculations and final answers to the nearest whole dollars.) Ending Inventory DVL Cost Inventory Layers Converted to Base Year Cost Inventory Layers Converted to Cost Inventory Layers at Base Year Cost Inventory Layers Converted to Cost Year-End Inventory at Year- End Cost Inventory Layers at Base Year Cost Year-End Cost Index Date Cost Index S 01/01/2018 Base = 12/31/2018 Base 2018 = 12/31/2019 Base 2018 2019 S 0 12/31/2020 Base 2018 2019 S 0 - 12/31/2021 Base 2018 2019 2021 0
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