21. Terry Company had January 1 inventory of $100,000 when it adopted dollar-value LIFO. During the year, purchases were $600,000 and sales were $1,000,000. December 31 inventory at year-end prices...

21. Terry Company had January 1 inventory of $100,000 when it adopted dollar-value LIFO.
During the year, purchases were $600,000 and sales were $1,000,000. December 31 inventory at
year-end prices was $143,360, and the price index was 112 (Price Index for base year = 100).
What is Terry’s ending inventory and gross profit, respectively?
a. $131,360 and 428,000
b. $128,000 and 443,460
c. $131,360 and 431,360
d. $143,360 and 443,460