Basking Company Adopted the Dollar-Value LIFO Method in 2014

question 120

Multiple Choice

Basking Company adopted the dollar-value LIFO method in 2014.At December 31,2014,ending inventory was $100,000,with a price index of 1.00,using dollar-value LIFO.At December 31,2015,the ending inventory using FIFO is $120,000 and the price index is 1.15.Round all dollar amounts to the nearest dollar.Basking Company's ending inventory at December 31,2015 on a dollar-value LIFO basis is ________.

• A)$100,000
• B)$104,348
• C)$105,000
• D)$120,000

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Definitions:

Groupthink

A mental effect that happens among a group when their preference for agreement or uniformity leads to illogical or ineffective choices being made.

Normative Social Influence

The influence of others that leads us to conform in order to be liked and accepted by them.

Dress Code

A set of rules or guidelines specifying the expected manner of dress within a particular context, such as workplaces or schools.

Chameleon Effect

The unconscious mimicry of the postures, mannerisms, facial expressions, and other behaviors of one's interaction partners, as a form of social glue.