Question

Presented below is information related to Coronado Corporation for the last 3 years.

				Base-Year Cost				Current-Year Cost
Item		Quantities in Ending Inventories		Unit Cost		Amount		Unit Cost		Amount
December 31, 2019
A		10,200		$2.00		$20,400		$2.20		$22,440
B		6,400		3.00		19,200		3.55		22,720
C		4,200		5.00		21,000		5.40		22,680
				Totals		$60,600				$67,840
December 31, 2020
A		10,200		$2.00		$20,400		$2.60		$26,520
B		8,000		3.00		24,000		3.75		30,000
C		6,400		5.00		32,000		6.40		40,960
				Totals		$76,400				$97,480
December 31, 2021
A		9,200		$2.00		$18,400		$2.70		$24,840
B		9,200		3.00		27,600		4.00		36,800
C		6,400		5.00		32,000		6.20		39,680
				Totals		$78,000				$101,320

Compute indexes. (Round price index to 2 decimal places, e.g. 1.62.)

		2019		2020		2021
Index

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Compute the ending inventories under the dollar-value LIFO method for 2019, 2020, and 2021. The base period is January 1, 2019, and the beginning inventory cost at that date was $41,200. (Round answers to 0 decimal places, e.g. 5,620.)

		2019		2020		2021
Ending Inventories		$		$		$

Answer 1

	Base year cost	index %	dollar value LIFO
December 31, 2019
January 1 2019,base	$ 41,200	100	$ 41,200
december 31 2019 layer	19,400 (diff)	112*	21,728 (19400*112%)
	$60,600		$ 62,928
December 31, 2020
january 1 2019,base	$ 41,200	100	$41,200
december 31 2019 layer	19,400	112	21728
december 31 2020 layer	24,200	128**	30976 (24200*128%)
	$76,400		$ 93,904
December 31, 2021
january 1 2019,base	$41,200	100	$41,200
december 31 2019 layer	19,400	112	21,728
december 31 2020 layer	24,200	128	30,976
december 31 2021 layer	84800	130	110,240 (84800*130%)
	$78,000		$204,144

*$67,840/60,600

**97,480/76,400

***$101,320/78,000