On January 1, 2020, Wildhorse Wholesalers Inc. adopted the dollar-value LIFO inventory method for income tax and external financial reporting purposes. However, Wildhorse continued to use the FIFO inventory method for internal accounting and management purposes. In applying the LIFO method, Wildhorse uses internal conversion price indexes and the multiple pools approach under which substantially identical inventory items are grouped into LIFO inventory pools. The following data were available for inventory pool no. 1, which comprises products A and B, for the 2 years following the adoption of LIFO.

		FIFO Basis per Records
		Units		Unit Cost		Total Cost
Inventory, 1/1/20
Product A		11,400		$30		$342,000
Product B		10,260		25		256,500
						$598,500
Inventory, 12/31/20
Product A		18,810		36		$677,160
Product B		10,260		26		266,760
						$943,920
Inventory, 12/31/21
Product A		14,820		40		$592,800
Product B		11,400		32		364,800
						$957,600

(a)

	Your answer is correct.

Compute the internal conversion price indexes for 2020 and 2021. (Round price index to 2 decimal places, e.g. 1.62.)

		2020		2021
Conversion price index

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(b)

	Your answer is incorrect. Try again.

Compute the inventory amounts at December 31, 2020 and 2021, using the dollar-value LIFO inventory method. (Round answers to 0 decimal places, e.g. 5,620.)

		2020		2021
Inventory		$		$