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On January 1, 2018, the Haskins Company adopted the dollar-value LIFO method for its one inventory...

On January 1, 2018, the Haskins Company adopted the dollar-value LIFO method for its one inventory pool. The pool’s value on this date was $700,000. The 2018 and 2019 ending inventory valued at year-end costs were $741,000 and $819,000, respectively. The appropriate cost indexes are 1.04 for 2018 and 1.05 for 2019.

Required:
Complete the below table to calculate the inventory value at the end of 2018 and 2019 using the dollar-value LIFO method. (Round "Year end cost index" to 2 decimal places. Round other final answer values to the nearest whole dollars.)

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Answer #1
2018 $
Ending Inventory at Base Year Cost (741000/1.04) 712500
Inventory Layers at Base Year Cost:
Base 700000
2018 (712500-700000) 12500
712500
Inventory Layers Converted to Cost:
660000*1 660000
12500*1.04 13000
673000
2019 $
Ending Inventory at Base Year Cost (819000/1.05) 780000
Inventory Layers at Base Year Cost:
Base 700000
2018 12500
2019 (780000-700000-12500) 67500
780000
Inventory Layers Converted to Cost:
660000*1 660000
12500*1.04 13000
67500*1.05 70875
743875
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