Question
Reading and Interpreting Walgreen Co.'s Inventory Note Walgreen Co.s 2012 Form 10-K includes the following in the note that summarizes its accounting policies: Inventories Inventories
Reading and Interpreting Walgreen Co.'s Inventory Note
Walgreen Co.s 2012 Form 10-K includes the following in the note that summarizes its accounting policies:
Inventories
Inventories are valued on a lower of last-in, first-out (LIFO) cost or market basis. At August 31, 2012 and 2011, inventories would have been greater by $1,897 million and $1,587 million, respectively, if they had been valued on a lower of first-in, first-out (FIFO) cost or market basis. As a result of declining inventory levels, the fiscal 2012 LIFO provision was reduced by $268 million of LIFO liquidation. Inventory includes product costs, inbound freight, warehousing costs and vendor allowances not classified as a reduction of advertising expense.
NOTE: I personally have already tried the answers of 1379 & 137900 for 2012 as well as 1239 & 123900 for 2011 and was marked wrong both times, I have one try left
1. What is the amount of the LIFO reserve at the end of each of the two years? Enter your answers in millions.
2012: $_____million
2011: $_____million
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started