The Xano Company reported merchandise inventory at LIFO of $450,000 on the year-end financial statements.The company also reported a LIFO reserve of $34,000.An estimate of the inventory balance if the inventory had been reported using the FIFO assumption is

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The FIFO inventory balance can be estimated by adding the LIFO reserve to the LIFO inventory balance: $450,000 + $34,000 = $484,000.

The Xano Company Reported Merchandise Inventory at LIFO of $450,000