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On January 1, 2024, a company adopted the dollar-value LIFO inventory method. The inventory value for its one inventory pool on this date was $265,000.
On January 1, 2024, a company adopted the dollar-value LIFO inventory method. The inventory value for its one inventory pool on this date was $265,000. 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 2024 2025 2026 2027 Date 01/01/2024 12/31/2024 Required: Calculate inventory amounts at the end of each year. Note: Round intermediate calculations and final answers to the nearest whole dollars. 12/31/2025 12/31/2026 12/31/2027 Inventory Year- Cost Index (Relative to End Costs Base Year) $ 345,050 355, 240 401,760 429,570 Inventory Layers Converted to Base Year Cost $ Inventory at Year-End Cost Inventory Layers at Base Year Cost 1.03 1.07 1.08 1.11 0 $ Inventory Layers Converted to Cost Inventory DVL Cost 0 Base Base 2024 Base 2024 2025 Base 2024 2025 2026 Base 2024 2025 2026 2027 Inventory Layers at Base Year Cost $ 0 Inventory Layers Converted to Cost $ 0 $ $ CA $ $ 0 10 10
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