Use the Following Information for 123 and 124

question 161

Multiple Choice

Use the following information for 123 and 124
Hay Company had January 1 inventory of $180,000 when it adopted dollar-value LIFO. During the year, purchases were $1,080,000 and sales were $1,800,000. December 31 inventory at year-end prices was $227,700, and the price index was 110.
-What is Hay Company's ending inventory?

• A) $198,000.
• B) $207,000.
• C) $209,700.
• D) $227,700.

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Definitions:

Articles of Incorporation

Legal documents filed with the government to legally document the creation of a corporation, outlining its structure, purpose, and compliance with law.

State Incorporation Statutes

Laws established by individual states that dictate how companies can legally incorporate and operate within that state.

S Corporation

A corporation that enjoys the tax status of a partnership.

Tax Status

A classification given to an individual or entity by a governmental authority that determines how they are taxed, which can include categories such as single, married, or corporation.