On January 1, 2020, Bonanza Wholesalers Inc. adopted the dollar-value LIFO inventory method for income tax and external financial reporting purposes. However, Bonanza continued to use the FIFO inventory method for internal accounting and management purposes. In applying the LIFO method, Bonanza uses internal conversion price indexes and the multiple pools approach under which substantially identical inventory items are grouped into LIFO inventory pools. The following data were available for inventory pool no. 1, which comprises products A and B, for the 2 years following the adoption of LIFO.
FIFO Basis per Records
Units Unit Cost Total Cost
Inventory, 1/1/17
Product A 10,000 $30 $300,000
Product B 9,000 25 225,000
$525,000
Inventory, 12/31/17
Product A 17,000 36 $612,000
Product B 9,000 26 234,000
$846,000
Inventory, 12/31/18
Product A 13,000 40 $520,000
Product B 10,000 32 320,000
$840,000
Required:
a. Prepare a schedule to compute the internal conversion price indexes for 2019 and 2020.
b. Prepare a schedule to compute the inventory amounts at December 31, 2019 and 2020, using the dollar-value LIFO inventory method.
Answers: 2
Business, 21.06.2019 20:00
Answer the following questions using the data given below. annual percent return on mutual funds (n = 17) last year (x) this year (y) 11.9 15.4 19.5 26.7 11.2 18.2 14.1 16.7 14.2 13.2 5.2 16.4 20.7 21.1 11.3 12.0 –1.1 12.1 3.9 7.4 12.9 11.5 12.4 23.0 12.5 12.7 2.7 15.1 8.8 18.7 7.2 9.9 5.9 18.9
Answers: 3
Business, 22.06.2019 11:50
The smelting department of kiner company has the following production and cost data for november. production: beginning work in process 3,700 units that are 100% complete as to materials and 23% complete as to conversion costs; units transferred out 10,500 units; and ending work in process 8,100 units that are 100% complete as to materials and 41% complete as to conversion costs. compute the equivalent units of production for (a) materials and (b) conversion costs for the month of november. materials conversion costs total equivalent units
Answers: 1
Business, 22.06.2019 18:00
When peter metcalf describes black diamond’s manufacturing facility in china as a “greenfield project,” he means that partnered with a chinese company to buy the plant . of all market entry strategies, this one carries the lowest risk. because black diamond manufactures its outdoor sports products outside the united states, what risks must its managers be aware of?
Answers: 1
On January 1, 2020, Bonanza Wholesalers Inc. adopted the dollar-value LIFO inventory method for inco...
Mathematics, 23.03.2021 07:00
Computers and Technology, 23.03.2021 07:00
Mathematics, 23.03.2021 07:10
English, 23.03.2021 07:10
Chemistry, 23.03.2021 07:10
English, 23.03.2021 07:10
Biology, 23.03.2021 07:10
Mathematics, 23.03.2021 07:10
Mathematics, 23.03.2021 07:10
Mathematics, 23.03.2021 07:10