Elster Company adopted the dollar-value LIFO method of inventory valuation on December 31, 2007. Its inventory on that date was $220,000, and the external price index on that date was 100. Here is additional information regarding the inventory: Inventory atPriceDateCurrent PricesIndex December 31, 2017      $220,000     100 December 31, 2018       $256,800     107 December 31, 2019       $290,000     125 December 31, 2020       $325,000     130 8.What is the cost of the ending inventory at December 31, 2018 under dollar-value LIFO? a.$240,000. b.$256,800. c.$241,400. d.$235,400. 9.What is the cost of the ending inventory at December 31, 2020 under dollar-value LIFO? a.$256,240. b.$254,400. c.$250,000

Q: Presented below is information related to Nash Company. Date   Ending Inventory (End-of-Year…

A: Under dollar value LIFO method, the goods are taken collectively into the form of pools and then…

Q: The dollar-value LIFO method was adopted by Windsor Corp. on January 1, 2017. Its inventory on that…

A: Calculation of amount of the inventory at December 31, 2017, under the dollar-value LIFO method:…

Q: At the beginning of 2016, a company adopts the dollar-value LIFO inventory method for its one…

A: Dollar-Value-LIFO: This method shows all the inventory figures at dollar price rather than units.…

Q: Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index…

A: Dollar-Value-LIFO: This method shows all the inventory figures at a dollar price rather than units.…

Q: Oasis Company has used the dollar-value LIFO method for inventory cost determination for many years.…

A: Workings: Ending Inventory at base prices = $ 97000 - 92000…

Q: Hogan Industries had the following inventory transactions occur during 2022: Units Cost/unit Feb. 1,…

A: Lets understand the basics. Gross profit is a profit generated from the sales. Gross profit = Sales…

Q: Canova Corporation adopted the dollar-value LIFO retail method on January 1, 2021. On that date, the…

A: GIVEN   Canova Corporation adopted the dollar-value LIFO retail method on January 1, 2021. On that…

Q: Whispering Company had ending inventory at end-of-year prices of $104,000 at December 31, 2019;…

A: Year Inventory at end of year prices Price index Inventory at base year prices Change from Prior…

Q: Alster Corporation adopted the dollar-value LIFO method of inventory valuation on December 31, 2015.…

A: Solution : Computation of inventory at base year prices and change from prior year - Alster…

Q: Crane Company adopted the dollar-value LIFO method of inventory valuation on December 31, 2019. Its…

A: LIFO is last in first method that is used for inventory valuation. This says that inventory which is…

Q: Riegel Company uses the LCNRV method, on an individual-item basis, in pricing its inventory items.…

A: As per LCNRV rule, inventory has to be valued at Lower of Cost or Net Realisable Value Net…

Q: Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index…

A: Dollar-Value-LIFO:  This method shows all the inventory figures at dollar price rather than units.…

Q: Midori Company had ending inventory at end-of-year prices of $100,000 at December 31, 2016; $119,900…

A: "Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Marigold Company has used the dollar-value LIFO method for inventory cost determination for many…

A: Determine the amount of change in base price.

Q: Sultan Co. uses the retail inventory method to estimate its inventory for interim statement…

A: Inventory is the current asset of the company that includes the raw materials which are required to…

Q: Marigold Company adopted the dollar-value LIFO method on January 1, 2017 (using internal price…

A: LIFO is the inventory valuation method in which inventories purchased at last will be sold first.…

Q: The Shill Company uses the dollar-value LIFO method for valuing inventory. The following inventory…

A: Year 2 value on the basis of base year=Year 2 inventory×Price index year 1Price index year…

Q: Dunk Company adopted the dollar-value LIFO inventory method on 12/31/2020 and uses one inventory…

A: The following are the answers:   1. The price index for 2021 is \$4.25. 2. The ending inventory for…

Q: Pharoah Company has used the dollar-value LIFO method since January 1, 2017. Pharoah uses internal…

A: Price index 2018 = Inventory at current year cost/inventory at base year cost = $1482, 000/1300000 =…

Q: The dollar-value LIFO method was adopted by Crane Corp. on January 1, 2020. Its inventory on that…

A: Inventory under dollar-value LIFO method will be value of inventory purchased first.

Q: From the following information you are required to find closing inventory as per CPP method, when…

A: Inventory as on 31st December 2020 = OMR 180,000 Average Price = 125 Price as on 31st December 2020…

Q: mpany P has the following inventory information: Date cember 31, 2021 cember 31, 2022 B. $112,884 C.…

A: LIFO stands for Last In First Out.  Dollar value LIFO method is method of inventory valuation where…

Q: Oriole Company had January 1 inventory of $291000 when it adopted dollar-value LIFO. During the…

A: Gross Profit = Sales - Cost of goods sold   Cost of goods sold = Beginning inventory + Purchases -…

Q: Presented below is information related to Crane Company. Date   Ending Inventory (End-of-Year…

A: Date Ending Inventory(End-of-Year Prices) PriceIndex Inventory at base year price Change from the…

Q: Midori Company had ending inventory at end-of-year prices of $100,000 at December 31, 2019; $119,900…

A: Base year prices = Ending inventory / year-end price indexe 2019 = $100,000 / 1.0 = $100,000 2020 =…

Q: Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index…

A: Inventory: it refers to all the items, goods, merchandise, and materials held by a business for…

Q: From the following information you are required to find purchases as per CPP method, when the firm…

A: CPP refers to the Current Purchasing Power method under which the items of the financial statement…

Q: Presented below is information related to Bonita Company. Ending Inventory (End-of-Year Prices) $…

A: Inventory valuation is done to report the same on the statement of financial position at the end of…

Q: The following information relates to the Jimmy Johnson Company.    Date       Ending…

A: The dollar-value LIFO method is used by the companies which accounts the inventory by using LIFO…

Q: NewCorp reported $367,000 of inventory on January 1 when the company decided to adopt Dollar-Value…

A: The financial position of the company can be arrived from the income statement prepared by the…

Q: Charleston Company has elected to use the dollar-value LIFO retail method to value its inventory.…

A: The ending inventory is the inventory left in stock at year end and assumed to be sold during next…

Q: The following information relates to the Jimmy Johnson Company. Date   Ending Inventory…

A: Statement for computation of Change in Inventory (Amt $) Date Inventory at the end of year…

Q: The following information relates to the Edward Lewis Company. Ending Inventory (End-of-Year Prices)…

A: The value of goods still available for sale and held by a company at the end of an accounting period…

Q: Carswell Electronics adopted the dollar-value LIFO method on January 1, 2016, when the inventory…

A: Dollar value LIFO method: In this method, the aggregate cost of inventory is compiled to layers for…

Q: On January 1, 2020, Temple Company adopted the dollar-value LIFO method for its one inventory pool.…

A: The question is based on the concept of Financial Accounting.

Q: Serendipity Company uses the first-in, first-out retail method of inventory valuation. The following…

A: There are different method which are applicable to Calculation of Ending inventory cost by using…

Q: Current Attempt in Progress Marigold Corp. adopted the dollar-value LIFO method of inventory…

A: Inventory calculation can be done on LIFO dollar value where inventory is calculated at latest price…

Q: dollar-value LIFO method

A: Year Inventory  (end Year) (Actual Cost) Price Index nventory  (end Year) (base year Cost)…

Q: Grotesque Company which employed the FIFO retail method provided the following inventory data: 2020…

A: The retail inventory method calculates the ending inventory by multiplying the retail closing stock…

Q: Hsieh Company adopted the dollar-value LIFO method on January 1, 2020 (using internal price indexes…

A: Closing stock will be calculated using internal price indexes and its multiple pools. First we have…

Q: The Product inventory balance of 62,754 on December 31, 2010 is based on the following information:…

A: 2011 Dec 31 Ending Product Inventory valued at FIFO = $85,000 Dec 31 Index Value for $ Value LIFO =…

Q: Cinco Company determined the following information for an inventory at year-end: P2,000,000…

A: Inventory is reported at lower of historical cost and net realizable value. Net realizable value is…

Q: Presented below is information related to Dino Radja Company.…

A: End of year prices and index price details are given. The ending inventory has to be computed using…

Q: On January 1, 2021, Badger Inc. adopted the dollar-value LIFO method. The inventory cost on this…

A: Dollar-value LIFO method: In this method, the valuation of inventory is calculated on the monetary…

Q: The following information relates to the David Davis Company. Price Ending Inventory (End-of-Year…

A: Solution: Computation of inventory at base year prices and change from prior year - David Davis…

Q: Presented below is information related to Langston Hughes Corporation.   Price 0Index0 LIFO…

A: LIFO Method:   It is an inventory valuation method where the inventory purchased last will be sold…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.