Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1, 2021, the Haskins Company adopted the dollar-value LIFO method for its one inventory pool. The pool's value on this date was $780,000.

image text in transcribed
On January 1, 2021, the Haskins Company adopted the dollar-value LIFO method for its one inventory pool. The pool's value on this date was $780,000. The 2021 and 2022 ending inventory valued at year-end costs were $819,000 and $901,000, respectively. The appropriate cost indexes are 1.04 for 2021 and 1.06 for 2022, Required: Complete the below table to calculate the inventory value at the end of 2021 and 2022 using the dollar-value LIFO method. (Round "Year end cost index" to 2 decimal places. Round other final answer values to the nearest whole dollars.) Inventory Layers Converted to Baso Year Cost Inventory Layers Converted fo Cost Inventory DVL. Cost Date Inventory at Year-End Cast Year-End Cost Index Inventory Layers at Base Year Cost Year-End Cost Index Inventory Layers at Base Year Cost $ 780,000 $ 851,760 Inventory Layers Converted to Cost 01/01/2021 12/31/2021 $ $ 780,000 819,000 * 51.00 1.04 Base 780001 Base 2021 $ 901,000 $ = 12/31/2022 1.06 x 955,060 Base 2021 2022

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Alan Melville

2nd Edition

0273634399, 978-0273634393

More Books

Students also viewed these Accounting questions