Opera Corp. uses the dollar-value LIFO method of computing its inventory cost. Data for the past three years is as follows: Year ended Inventory at Price December 31. End-of-year Prices Index 2016 $650,000 1.00 2017 1,260,000 1.05 2018 1,350,250 1.10 What is the 2016 inventory balance using dollar-value LIFO?
1) $1,350,250
2) $650,000
3) $619,040
4) $1,227,270