Carr Co. adopted the dollar-value LIFO inventory method on December 31, 2008. Carr's entire inventory constitutes a single pool. On December 31, 2008, the inventory was $320,000 under the dollar-value LIFO method. Inventory data for 2009 are as follows:
Using dollar value LIFO, Carr's inventory at December 31, 2009 is

Question

Carr Co. adopted the dollar-value LIFO inventory method on December 31, 2008. Carr's entire inventory constitutes a single pool. On December 31, 2008, the inventory was $320,000 under the dollar-value LIFO method. Inventory data for 2009 are as follows:
 Using dollar value LIFO, Carr's inventory at December 31, 2009 is

Quizplus · Accepted Answer

$440,000 ÷ 1.1 = $400,000
$320,000 + ($80,000 × 1.1) = $408,000.

Carr Co Adopted the Dollar-Value LIFO Inventory Method on December 31