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Question - Carswell Electronics adopted the dollar-value LIFO method on January 1, 2021, when the inventory value of its one inventory pool was $870,000. The company decided to use an external index, the Consumer Price Index (CPI), to adjust for changes in the cost level. On January 1, 2021, the CPI was 230. On December 31, 2021, inventory valued at year-end cost was $1,045,000 and the CPI was 253.
Required - Calculate the inventory value at the end of 2021 using the dollar-value LIFO method.
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