Question
Udon Inc. adopted dollar-value LIFO (DVL) as of January 1, 2021, when it had an inventory of $715,000. Its inventory as of December 31, 2021,
Udon Inc. adopted dollar-value LIFO (DVL) as of January 1, 2021, when it had an inventory of $715,000. Its inventory as of December 31, 2021, was $828,800 at year-end costs and the cost index was 1.12. What was DVL inventory on December 31, 2021?
Linguini Inc. adopted dollar-value LIFO (DVL) as of January 1, 2021, when it had an inventory of $806,000. Its inventory as of December 31, 2021, was $845,300 at year-end costs and the cost index was 1.07. What was DVL inventory on December 31, 2021?
Where is the key of difference between those? Why we don't add a layer for the second problem?
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Financial Accounting Tools For Business Decision-Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
2nd Canadian Edition
0470833378, 978-0470833377
