Problem - A wholly owned subsidiary of J & J Products implemented Dollar Value LIFO inventory valuation in 2010, when their ending inventory was $650,000. The following are the inventory amounts for an ingredient used in packaging for years 2011 - 2015. The price index has been increasing by 5% each year 2011 through 2015.
Inventory at
End of Year
Year Prices 2010 Price Index
2010 $650,000 100%
2011 $497,200 105%
2012 $595,800 110%
2013 $605,200 115%
2014 $656,500 120%
2015 $701,800 125%
Calculate the ending inventory for years 2011 - 2015 using Dollar Value LIFO.