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or 2021 and 2022 are as follows: 2021 Cost Retail $39,000 $ 52,000 96,920 114,000 2,600 13,000

or 2021 and 2022 are as follows: 2021 Cost Retail $39,000 $ 52,000 96,920 114,000 2,600 13,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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dollar value lifo method

On January 1, 2021, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2021 and 2022 are as follows: 2021 Cost 2022 Retail $39,000 $ 52,000 96,920 2,600 Cost Retail Beginning inventory Net purchases Freight-in Net markups 114,000 $102,775 $118,600 3,100 13,000 2,600 111,010 2,200 9,200 2,800 108,840 4,960 Net Barkdowns Net sales to customers Sales to employees (net of 20% discount) Price IndexI January 1, 2021 December 31, 2021 December 31, 2022 1.00 1.08 1.10 Required: Estimate the 2021 and 2022 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method. (Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final answers to the nearest whole dollar.) 2021 2022 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold
Transcribed Image Text:On January 1, 2021, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2021 and 2022 are as follows: 2021 Cost 2022 Retail $39,000 $ 52,000 96,920 2,600 Cost Retail Beginning inventory Net purchases Freight-in Net markups 114,000 $102,775 $118,600 3,100 13,000 2,600 111,010 2,200 9,200 2,800 108,840 4,960 Net Barkdowns Net sales to customers Sales to employees (net of 20% discount) Price IndexI January 1, 2021 December 31, 2021 December 31, 2022 1.00 1.08 1.10 Required: Estimate the 2021 and 2022 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method. (Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final answers to the nearest whole dollar.) 2021 2022 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold
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