Larkspur Department Store converted from the conventional retail method to the LIFO retail method on January 1, 2020, and is now considering converting to the dollar-value LIFO inventory method. During your examination of the financial statements for the year ended December 31, 2021, management requested that you furnish a summary showing certain computations of inventory cost for the past 3 years. Here is the available information.

1.		The inventory at January 1, 2019, had a retail value of $55,100 and cost of $29,700 based on the conventional retail method.
2.		Transactions during 2019 were as follows.

		Cost		Retail
Purchases		$288,655		$549,000
Purchase returns		5,100		10,200
Purchase discounts		5,900
Gross sales revenue (after employee discounts)				541,800
Sales returns				8,800
Employee discounts				3,000
Freight-in		17,800
Net markups				19,600
Net markdowns				12,100

3.		The retail value of the December 31, 2020, inventory was $75,900, the cost ratio for 2020 under the LIFO retail method was 58%, and the regional price index was 105% of the January 1, 2020, price level.
4.		The retail value of the December 31, 2021, inventory was $62,100, the cost ratio for 2021 under the LIFO retail method was 57%, and the regional price index was 109% of the January 1, 2020, price level.

A. Compute the cost of inventory on hand at December 31, 2019, based on the conventional retail method

Cost of inventory on hand $___________

B. Compute the inventory to be reported on December 31, 2019, in accordance with procedures necessary to convert from the conventional retail method to the LIFO retail method beginning January 1, 2020. Assume that the retail value of the December 31, 2019, inventory was $59,400.

The inventory to be reported on December 21, 2011 $________

C. Without prejudice to your solution to part (b), assume that you computed the December 31, 2019, inventory (retail value $59,400) under the LIFO retail method at a cost of $31,185. Compute the cost of the stores 2020 and 2021 year-end inventories under the dollar-value LIFO method.

Inventories under the dollar-value LIFO method

2020 $____________ 2021 $____________