On January 1, 2000, Lemons Co. decided to switch to Dollar Value LIFO. At that time, it had inventory on hand of $295,000. The company reported purchases for the year of $1,180,000 and sales of $2,655,000. The value of inventory on hand on December 31, 2019 was $409,000 at end of year prices. The price index for 2019 was 111. What should Lemons Co. report as their ending inventory for 2000?

1. $368,468
2. $453,990
3. $376,550
4. $327,450

Answer rating: 100% (QA)

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