James's Televisions produces television sets in three categories: portable, midsize, and flat-screen. On January 1, 2025, Jamesadopted dollar-value LIFO and decided to use a single inventory pool. The company's January 1 inventory consists of:CategoryPortableMidsizeFlat-screenCategoryPortableMidsizeFlat-screen(a1)Quantity3,000Price index4,0001,5008,500QuantityPurchasedDuring 2025, the company had the following purchases and sales.7,50010,0005,000Cost per Unit$10022,500250400Cost per Unit$110300Total Cost500$300,0001,000,000600,000$1,900,000QuantitySold7,00012,0003,00022,000Selling Priceper Unit$150400600Calculate the price index for 2025. (Round price index to 4 decimal places, e.g. 1.4562.)

Solution: Inorder to calculate the Price Index first of all we need to find the ending…

James's Televisions produces television sets in three categories: portable, midsize, and flat-screen. On Ja adopted dollar-value LIFO and decided to use a single inventory pool. The company's January 1 inventor Category Quantity Cost per Unit 3,000 $100 Portable Midsize Flat-screen 4,000 1,500 8,500 250 400 Total Cost $300,000 1,000,000 600,000 $1,900,000

James's Televisions produces television sets in three categories: portable, midsize, and flat-screen. On Ja adopted dollar-value LIFO and decided to use a single inventory pool. The company's January 1 inventor Category Quantity Cost per Unit 3,000 $100 Portable Midsize Flat-screen 4,000 1,500 8,500 250 400 Total Cost $300,000 1,000,000 600,000 $1,900,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 13P: Webster Company adopted do liar-value LIFO on January 1, 2019. Webster produces three products: X,...

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