(Dollar Value LIFO Retail) You assemble the following information for Dillon Department Store, which computes its inventory under the dollar value LIFO method.
|
Cost |
Retail |
|
|
Inventory on January 1, 2012 |
$222,000 |
$300,000 |
|
Purchases |
364,800 |
480,000 |
|
Increase in price level for year |
9% |
Instructions
Compute the cost of the inventory on December 31, 2012, assuming that the inventory at retail is (a) $294,300 and (b) $359,700.