Blossom Company manufactures one product. On December 31, 2019, Blossom adopted the dollar-value LIFO inventory method. The inventory on that date using the dollar-value LIFO inventory method was $900,000. Inventory data are as follows: Year   Inventory at year-end prices   Price index (base year 2019) 2020   $1,228,500     1.05   2021   1,844,600     1.15   2022   1,900,000     1.25   Compute the inventory at December 31, 2020, 2021, and 2022, using the dollar-value LIFO method for each year. Inventory at December 31, 2020   $  Inventory at December 31, 2021   $  Inventory at December 31, 2022

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter7: Inventories: Cost Measurement And Flow Assumptions
Section: Chapter Questions
Problem 14RE: On January 1 of Year 1, Dorso Company adopted the dollar-value LIFO method of inventory costing....
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Blossom Company manufactures one product. On December 31, 2019, Blossom adopted the dollar-value LIFO inventory method. The inventory on that date using the dollar-value LIFO inventory method was $900,000. Inventory data are as follows:

Year   Inventory at
year-end prices
  Price index
(base year 2019)
2020   $1,228,500     1.05  
2021   1,844,600     1.15  
2022   1,900,000     1.25  


Compute the inventory at December 31, 2020, 2021, and 2022, using the dollar-value LIFO method for each year.

Inventory at December 31, 2020  
Inventory at December 31, 2021  
Inventory at December 31, 2022
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