1. Can you show me the steps with all the answers please!!! Raleigh...
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1. Can you show me the steps with all the answers please!!!
Raleigh Department Store converted from the conventional retail method to the LIFO retail method on January 1,2014, and is now considering converting to the dollar-value LIFO retail inventory method. Management requested, during your examination of the financial statements for the year ended December 31,2016. that you furnish a summary showing certain computations of inventory costs for the past three years. Available information follows: inventory at January 1, 2014, had a retail value of $39,000 and a cost of $31,130 based on the conventional retail method. Transactions during 2014 were as follows: Sales to employees are recorded net of discounts. The retail value of the December 31, 2015, inventory was $49,290, the cost-to-retail percentage for under the LIFO retail method was 78%, and the appropriate price index was 106% of the January 1, 2015, price level. The retail value of the December 31, 2016. inventory was $46,870, the cost-to-retail percentage for under the LIFO retail method was 77%, and the appropriate price index was 109% of the January 1, 2015, price level. Calculate the cost of inventory for December 31, 2015 and 2016, based on the dollar-value LIFO retail method
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