Leggett and Platt uses the LIFO method of accounting for inventory. The company reported a LIFO reserve of $22.6 million at the beginning of the 2016 fiscal year and a LIFO reserve of $33.8 million at the end of the 2016 fiscal year. Cost of goods sold reported on the 2016 income statement was $2,850.7 million.
What would the company have reported for cost of goods sold had they used FIFO to account for inventory costs?

Question

Leggett and Platt uses the LIFO method of accounting for inventory. The company reported a LIFO reserve of $22.6 million at the beginning of the 2016 fiscal year and a LIFO reserve of $33.8 million at the end of the 2016 fiscal year. Cost of goods sold reported on the 2016 income statement was $2,850.7 million. 
What would the company have reported for cost of goods sold had they used FIFO to account for inventory costs?

Quizplus · Accepted Answer

The Answer of Leggett and Platt uses the LIFO method of accounting for inventory. The company reported a LIFO reserve of $22.6 million at the beginning of the 2016 fiscal year and a LIFO reserve of $33.8 million at the end of the 2016 fiscal year. Cost of goods sold reported on the 2016 income statement was $2,850.7 million. 
What would the company have reported for cost of goods sold had they used FIFO to account for inventory costs?

Leggett and Platt Uses the LIFO Method of Accounting for Inventory