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On January 1, 2018, Avondale Lumber adopted the dollar-value LIFO inventory method. The inventory value for its one inventory pool on this date was $345,000.
On January 1, 2018, Avondale Lumber adopted the dollar-value LIFO inventory method. The inventory value for its one inventory pool on this date was $345,000. An internally generated cost index is used to convert ending inventory to base year. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows:
Year Ended December 31 2018 2019 2020 2021 Inventory Year-End Costs $436,800 449,280 505,760 545,440 Cost Index (Relative to Base Year) 1.04 1.08 1.09 1.12 Required: Calculate inventory amounts at the end of each year. (Round intermediate calculations and final answers to the nearest whole dollars.) Inventory Layers Converted to Base Year Cost Ending Inventory DVL Cost Inventory Layers Converted to Cost Inventory at Year- End Cost Year- End Cost Index Inventory Layers at Base Year Cost Inventory Layers at Base Year Year- End Cost Index Inventory Layers Converted to Cost Date Cost 01/01/2018 Base Base 2018 Base 2018 Base 2018 2020 Base 2018 2020 2021 12/31/2018 12/31/2019 12/31/2020 12/31/2021
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