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 $255,000. 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 | $ | 319,300 | 1.03 | ||
2019 | 406,560 | 1.12 | |||
2020 | 384,770 | 1.09 | |||
2021 | 372,750 | 1.05 | |||
Required:
Calculate inventory amounts at the end of each year. (Round
intermediate calculations and final answers to the nearest whole
dollars.)
Calculation of Inventory amounts at the end of each year:
Inventory layers converted to base year cost | Inventory layers converted to cost | Ending Inventory DVL cost | ||||||||||
Date | inventory at year end cost | / | Year end cost index | = | inventory layers at base year cost | Year | inventory layers at base year cost | * | Year end cost index | = | inventory layers converted to cost for | |
1/1/18 | 255000 | / | 1 | = | 255000 | 255000 | * | 1 | = | 255000 | ||
12/31/18 | 319300 | / | 1.03 | = | 310000 | 255000 | * | 1 | = | 255000 | ||
2018 | 55000 | * | 1.03 | = | 56650 | 311650 | ||||||
12/31/19 | 406560 | / | 1.12 | = | 363000 | 255000 | * | 1 | = | 255000 | ||
2018 | 55000 | * | 1.03 | = | 56650 | |||||||
2019 | 53000 | * | 1.12 | = | 59360 | 371010 | ||||||
12/31/20 | 384770 | 1.09 | = | 353000 | 255000 | * | 1 | = | 255000 | |||
2018 | 55000 | * | 1.03 | = | 56650 | |||||||
2019 | 43000 | * | 1.12 | = | 48160 | 359810 | ||||||
12/31/21 | 372750 | 1.05 | = | 355000 | 255000 | * | 1 | = | 255000 | |||
2018 | 55000 | * | 1.03 | = | 56650 | |||||||
2019 | 45000 | * | 1.12 | = | 50400 | 362050 | ||||||
Kingston Company uses the dollar-value LIFO method of computing inventory. An external price index is used...
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, 2021, with an inventory of $147,000. Year-end inventories at year- end costs and cost indexes for its one inventory pool were as follows: Year Ended December 31 2021 2022 2023 2024 Ending Inventory at Year-End Costs $220, 500 283, 360 264, 870 262, 150 Cost Index (Relative to Base Year)...
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, 2021, with an inventory of $270,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended December 31 2021 2022 2023 2024 Ending Inventory at Year-End Costs $343,400 435,600 413,020 401,700 Cost Index (Relative to Base Year) 1.01 1.10 1.07 1.03 Required:...
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, 2021, with an inventory of $280,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended December 31 2021 2022 2023 2024 Ending Inventory at Year-End Costs $403, 200 505,780 481,440 467,400 Cost Index (Relative to Base Year) 1.12 1.21 1.18 1.14...
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, 2021, with an inventory of $201,000. 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) 2021 $ 291,600 1.08 2022 376,420 1.18 2023 355,350 1.15 2024 349,650 1.11...
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, 2021, with an inventory of $280,000. 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) 2021 $ 403,200 1.12 2022 505,780 1.21 2023 481,440 1.18 2024 467,400 1.14...
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, 2021, with an inventory of $183,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Cost Index (Relative to Base Year) 1.05 Year Ended December 31 2021 2022 2023 2024 Ending Inventory at Year-End Costs $262,500 350, 460 330, 050 327,450 1.11 Required:...
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, 2021, with an inventory of $270,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended December 31 2021 2022 2023 2024 Ending Inventory at Year-End Costs $343,400 435,600 413,020 401,700 Cost Index (Relative to Base Year) 1.01 1.10 1.07 1.03...
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, 2021, with an inventory of $210,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Cost Index (Relative to Base Year) Year Ended December 31 2021 2022 2023 2024 1.10 Ending Inventory at Year-End Costs $300,000 396,000 374,400 367,250 1.20 1.17 Required: Calculate...
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, 2021, with an inventory of $219,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Ending Inventory Cost Index Year Ended (Relative to Base Year) December 31 at Year-End Costs $333,500 426,250 403,820 1.15 2021 2022 1.25 2023 1.22 2024 395,300 1.18 Required:...
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, 2021, with an inventory of $275,000. Year-end inventories at year-end costs and cost indexes for its one inventory pool were as follows: Year Ended December 31 2021 Ending Inventory at Year-End Costs $378,000 480, 260 456, 550 440,000 Cost Index (Relative to Base Year) 1.08 1. 18 1. 15 1....