Answer:
2017 $ 77,100
2018 $ 120.192
2019 $ 101.166
2020 $ 106,938
2021 $ 124,914
2020 $ 156,060
Explanation:
We have to compare eahc year against base year and then, add layer or subtract from the inventory when increases or decreases occur respectively.
2018 at year-base
140,238 / 1.26= 111,300
increase on inventory: 111,300 - 77,100 = 34,200
times price index at year 2018: 34,200 x 1.26 = 43,092
ending inventory on balance sheet:
2019 at year-base 138,528 / 1.44 = 96,200
decrease in inventory: 96200 - 111300 = -15,100
we subtract from the newest layer as it is LIFO method:
120.192 - 15,100 x 1.26 = 101.166
2020 at year base: 155,844 / 1.56 = 99,900
beginning inventory: 96,200
increase in inventory 3,700
101,166 + 3,700 x 1.56 = 106,938
2021 at year base: 185,808 / 1.68 = 110,600
beginning inventory: 99,900
increase in inventory 10,700
106,938 + 10,700 x 1.68 = 124,914
2022 at year base: 223,590 / 1.74 = 128,500
beginning inventory 110,600
increase in inventory 17,900
124,914 + 17,900 x 1.74 = 156,060
