Comprehensive The Kelly Company adopted dollar value LIFO on January 1, 2006 using two inventory pools, each of which includes two types of inventory items. The following information about the inventory at the end of each year is available:
|
Pool 1 |
Pool 2 |
|||||
|
Year |
Number of Units |
Type |
Average Cost per Unit |
Number of Units |
Type |
Average Cost per Unit |
|
2006 |
20,000 |
A |
$10 |
40,000 |
C |
$5 |
|
10,000 |
B |
20 |
20,000 |
D |
8 |
|
|
2007 |
30,000 |
A |
11 |
50,000 |
C |
7 |
|
12,000 |
B |
24 |
22,000 |
D |
9 |
|
|
2008 |
40,000 |
A |
12 |
46,000 |
C |
6 |
|
14,000 |
B |
22 |
20,000 |
D |
8 |
|
|
2009 |
45,000 |
A |
12 |
60,000 |
C |
7 |
|
13,000 |
B |
25 |
25,000 |
D |
8 |
Required
1. Compute the cost index for each year for each pool using a base of 100 for each index. (Round each cost index to 4 decimal places.)
2. Compute the dollar value LIFO inventory at the end of each year.