Sheridan Company manufactures one product. On December 31, 2019, Sheridan adopted the dollar-value LIFO inventory method. The in
ventory on that date using the dollar-value LIFO inventory method was $970,000. Inventory data are as follows
Year Inventory at
year-end prices Price index
(base year 2016)
2017 $1,260,000 1.05
2018 1,840,000 1.15
2019 1,900,000 1.25
Compute the inventory at December 31, 2017, 2018, and 2019, using the dollar-value LIFO method for each year.
Inventory at December 31, 2017 $Problem 161 Aber Company manufactures one product.
Inventory at December 31, 2018 $Problem 161 Aber Company manufactures one product.
Inventory at December 31, 2019
Year Inventory at
year-end prices Price index
(base year 2016)
2017 $1,260,000 1.05
2018 1,840,000 1.15
2019 1,900,000 1.25
Compute the inventory at December 31, 2017, 2018, and 2019, using the dollar-value LIFO method for each year.
Inventory at December 31, 2017 $Problem 161 Aber Company manufactures one product.
Inventory at December 31, 2018 $Problem 161 Aber Company manufactures one product.
Inventory at December 31, 2019
1 answer:
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Answer:
The correct answer is 777.169.56.
Explanation:
According to the scenario, the given data are as follows:
Payment per year (PMT) = $3,000
Time (N) = 40 years
Rate of interest (R)= 8%
So, the future value of the following can be calculated by using the following formula:
Future value = PMT ×
Now, put the value of the following in the formula. then,
= 3,000 ×
= 3,000 × 259.0565
= 777,169.56
Hence, the value in the account after 40 years will be 777,169.56.
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
