Question: Inverted Catenaries Inc. accounts for inventory using the dollar-value LIFO method. The following information is available for Year 5 through Year 7 (listed chronologically). Year
Inverted Catenaries Inc. accounts for inventory using the dollar-value LIFO method. The following information is available for Year 5 through Year 7 (listed chronologically).
| Year | Ending Inventory at FIFO | Price Index |
|---|---|---|
| Year 5 | $1,000 | 1.00 |
| Year 6 | 1,600 | 1.10 |
| Year 7 | 2,000 | 1.13 |
Compute ending inventory under the dollar-value LIFO method for Year 5, Year 6, and Year 7. Note: Round your answers to the nearest whole dollar.
| Ending Inventory | Price | Ending Inventory | Inventory | Price | Ending Inventory | ||
|---|---|---|---|---|---|---|---|
| Date | (End of year prices) | Index | (Base year prices) | Layers | Index | (Dollar Value LIFO) | |
| Year 5 | $1,000 | 1.00 | $1,000 | $1,000 | 1.00 | Answer
| |
| Year 6 | Answer
| Answer
| Answer
| Answer
| 1.00 | Answer
| |
| Answer
| 1.10 | Answer
| |||||
| Year 7 | Answer
| Answer
| Answer
| Answer
| 1.00 | Answer
| |
| Answer
| 1.10 | Answer
| |||||
| Answer
| 1.13 | Answer
| |||||
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