Question

8. (10 points) The following information relates to the Windsor Company.DateEnding Inventory(End-of-Year Prices)PriceIndexDecember 31, 2013$ 63,500100December 31, 2014105,434119December 31, 2015113,446131December 31, 2016128,792136December 31, 2017118,158141Use the dollar-value LIFO method to compute the ending inventory for Windsor Company for 2013 through 2017.

8. (10 points) The following information relates to the Windsor Company. Date December 31, 2013 December 31, 2014 December 31, 2015 December 31, 2016 December 31, 2017 Ending Inventory Price (End-of-Year Prices) Index $ 63,500 100 105,434 119 113,446 131 128,792 136 118,158 141 Use the dollar-value LIFO method to compute the ending inventory for Windsor Company for 2013 through 2017.

Answer 1

Dollar - Value LIFO Method Dec 31st, 2013 Closing inventory value Date Dec 31st, 2013 Dec 31st, 2014 Dec 31st, 2015 Dec 31st, 2016 Dec 31st, 2017 Inventory at end of the year 63500 105434 113446 128792 118158 Inventory Change Price at from index base year prior year 100 635001 63500 119 88600 25100 131 86600 -2000 136 947001 8100 1 41 83800] -10900 = 63500 * 1.0 = $ 63500 Dec 31st, 2014 Closing inventory value = 63500 * 1.0 = $ 63500 = 25100 * 1.19 = $29869 Total = $ 93369 Dec 31st, 2015 Closing inventory value = 63500 * 1.0 = $ 63500 = 23100 * 1.19 = $ 27489 Total = $ 90989 Dec 31st, 2016 Closing inventory value = 63500 * 1.0 = $ 63500 = 25100 * 1.19 = $ 29869 = 6100 * 1.36 = $ 8296 Total = $ 101665 Dec 31st, 2017 Closing inventory value = 63500 * 1.0 = $ 63500 = 20300 * 1.19 = $ 24157 Total = $ 87657 Please provide feedback with UP Vote (Like)