Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used to convert ending inventory to base year. The company began operations on January 1, 2018, with an inventory of $150,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended Ending Inventory Cost Index December 31 at Year-End Costs (Relative to Base Year) 2018 $ 200,000 1.08 2019 245,700 1.17 2020 235,980 1.14 2021 228,800 1.10 Required:Calculate inventory amounts at the end of each year. (Round intermediate calculations and final answers to the nearest whole dollars.)
Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used to convert ending inventory to base year. The company began operations on January 1, 2018, with an inventory of $150,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended Ending Inventory Cost Index December 31 at Year-End Costs (Relative to Base Year) 2018 $ 200,000 1.08 2019 245,700 1.17 2020 235,980 1.14 2021 228,800 1.10 Required:Calculate inventory amounts at the end of each year. (Round intermediate calculations and final answers to the nearest whole dollars.)
Chapter18: Accounting Periods And Methods
Section: Chapter Questions
Problem 67P
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Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used to convert ending inventory to base year. The company began operations on January 1, 2018, with an inventory of $150,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows:
| Year Ended | Ending Inventory | Cost Index | |||
| December 31 | at Year-End Costs | (Relative to Base Year) | |||
| 2018 | $ | 200,000 | 1.08 | ||
| 2019 | 245,700 | 1.17 | |||
| 2020 | 235,980 | 1.14 | |||
| 2021 | 228,800 | 1.10 | |||
Required:
Calculate inventory amounts at the end of each year. (Round intermediate calculations and final answers to the nearest whole dollars.)
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