Question
On January 1, 2018, Jacob Marley Company adopted the dollar-value LIFO method for its inventory. The inventory value on this date was $590 million. The
On January 1, 2018, Jacob Marley Company adopted the dollar-value LIFO method for its inventory. The inventory value on this date was $590 million. The December 31, 2018 and 2019 ending inventory valued at year-end costs were $702 million and $810 million, respectively. The appropriate cost indexes are 1.08 for 12/31/2018 and 1.20 for 12/31/2019.
_____ 19. Using the dollar-value LIFO method, ending inventory on Jacob Marley's balance sheet at December 31, 2018 is:
A) $637.2 million
B) $702.0 million
C) $650.0 million
D) $654.8 million
_____ 20. Using the dollar-value LIFO method, ending inventory on Jacob Marley's balance sheet at December 31, 2019 is:
A) $692.0 million
B) $810.0 million
C) $675.0 million
D) $684.8 million
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