diff --git a/compiler/backend/src/org/jetbrains/kotlin/codegen/FunctionCodegen.java b/compiler/backend/src/org/jetbrains/kotlin/codegen/FunctionCodegen.java
index 2b37f240ba0..ce0d8442c28 100644
--- a/compiler/backend/src/org/jetbrains/kotlin/codegen/FunctionCodegen.java
+++ b/compiler/backend/src/org/jetbrains/kotlin/codegen/FunctionCodegen.java
@@ -620,6 +620,7 @@ public class FunctionCodegen {
                     isReleaseCoroutines);
         }
 
+        Label methodEntry = null;
         Label methodEnd;
 
         int functionFakeIndex = -1;
@@ -649,14 +650,14 @@ public class FunctionCodegen {
                     functionDescriptor.getValueParameters(), isStaticMethod(context.getContextKind(), functionDescriptor)
             );
             if (context.isInlineMethodContext()) {
-                functionFakeIndex = frameMap.enterTemp(Type.INT_TYPE);
+                functionFakeIndex = newFakeTempIndex(mv, frameMap);
             }
 
             if (context instanceof InlineLambdaContext) {
-                lambdaFakeIndex = frameMap.enterTemp(Type.INT_TYPE);
+                lambdaFakeIndex = newFakeTempIndex(mv, frameMap);
             }
 
-            Label methodEntry = new Label();
+            methodEntry = new Label();
             mv.visitLabel(methodEntry);
             context.setMethodStartLabel(methodEntry);
 
@@ -708,10 +709,11 @@ public class FunctionCodegen {
 
         //TODO: it's best to move all below logic to 'generateLocalVariableTable' method
         if (context.isInlineMethodContext() && functionFakeIndex != -1) {
+            assert methodEntry != null : "methodEntry is not initialized";
             mv.visitLocalVariable(
                     JvmAbi.LOCAL_VARIABLE_NAME_PREFIX_INLINE_FUNCTION + typeMapper.mapAsmMethod(functionDescriptor).getName(),
                     Type.INT_TYPE.getDescriptor(), null,
-                    methodBegin, methodEnd,
+                    methodEntry, methodEnd,
                     functionFakeIndex);
         }
 
@@ -728,14 +730,22 @@ public class FunctionCodegen {
                     functionName = inlineArgumentDescriptor.getContainingDeclaration().getName().asString();
                 }
             }
+            assert methodEntry != null : "methodEntry is not initialized";
             mv.visitLocalVariable(
                     JvmAbi.LOCAL_VARIABLE_NAME_PREFIX_INLINE_ARGUMENT + "-" + functionName + "-" + lambdaLocalName,
                     Type.INT_TYPE.getDescriptor(), null,
-                    methodBegin, methodEnd,
+                    methodEntry, methodEnd,
                     lambdaFakeIndex);
         }
     }
 
+    private static int newFakeTempIndex(@NotNull MethodVisitor mv, FrameMap frameMap) {
+        int fakeIndex = frameMap.enterTemp(Type.INT_TYPE);
+        mv.visitLdcInsn(0);
+        mv.visitVarInsn(ISTORE, fakeIndex);
+        return fakeIndex;
+    }
+
     private static boolean isCompatibilityStubInDefaultImpls(
             @NotNull FunctionDescriptor functionDescriptor,
             @NotNull MethodContext context,
diff --git a/compiler/testData/codegen/bytecodeText/inline/inlineArgumentSlots.kt b/compiler/testData/codegen/bytecodeText/inline/inlineArgumentSlots.kt
new file mode 100644
index 00000000000..7f6ae29d319
--- /dev/null
+++ b/compiler/testData/codegen/bytecodeText/inline/inlineArgumentSlots.kt
@@ -0,0 +1,54 @@
+// WITH_RUNTIME
+
+class Range<T>(val min: T, val max: T)
+
+class Sprite
+
+class A {
+    private fun calcSpriteSizeRange(layoutSize: Int,
+                                    sprites: Map<Long, Sprite>,
+                                    minMargin: Int,
+                                    range: Range<Int>)
+            : Pair<Range<Int>, Int> {
+        val count = sprites.count()
+        var spriteBounds = layoutSize / count.toFloat()
+        require(spriteBounds * count <= layoutSize) {
+            val result = spriteBounds * count <= layoutSize
+            "Algorithm incorrect: $spriteBounds * " +
+                    "$count == $result <= $layoutSize"
+        }
+        val adjustedMargin = minMargin + (minMargin / count.toFloat())
+        spriteBounds -= adjustedMargin
+        var size = spriteBounds
+        require((size * count) + minMargin * (count + 1)
+                        <= layoutSize) {
+            val result = size * count + minMargin * (count + 1)
+            "Algorithm incorrect: $size * $count + " +
+                    "$minMargin * ($count + 1) == $result <= $layoutSize"
+        }
+        size = kotlin.math.min(size, range.max.toFloat())
+        require(size > 0) {
+            "Maximum palantir size ${size.toInt()} > 0."
+        }
+        val minSize =
+            if (range.min > size) {
+                size
+            } else {
+                range.min.toFloat()
+            }
+        val margin = (layoutSize - (size * count)) / (count + 1)
+        val adjustedRange = Range(minSize.toInt(), size.toInt())
+        val requiredSize =
+            calcRequiredLayoutSize(count, adjustedRange.max, margin.toInt())
+        require(requiredSize <= layoutSize) {
+            "requiredSize <= layoutSize -> " +
+                    "$requiredSize <= $layoutSize"
+        }
+
+        return Pair(adjustedRange, margin.toInt())
+    }
+}
+
+fun calcRequiredLayoutSize(count: Int, max: Int, toInt: Int) = 0
+
+// 2 ISTORE 10
\ No newline at end of file
diff --git a/compiler/tests/org/jetbrains/kotlin/codegen/BytecodeTextTestGenerated.java b/compiler/tests/org/jetbrains/kotlin/codegen/BytecodeTextTestGenerated.java
index 0c92f434b1d..c98f225b2fe 100644
--- a/compiler/tests/org/jetbrains/kotlin/codegen/BytecodeTextTestGenerated.java
+++ b/compiler/tests/org/jetbrains/kotlin/codegen/BytecodeTextTestGenerated.java
@@ -1948,6 +1948,11 @@ public class BytecodeTextTestGenerated extends AbstractBytecodeTextTest {
             runTest("compiler/testData/codegen/bytecodeText/inline/finallyMarkers.kt");
         }
 
+        @TestMetadata("inlineArgumentSlots.kt")
+        public void testInlineArgumentSlots() throws Exception {
+            runTest("compiler/testData/codegen/bytecodeText/inline/inlineArgumentSlots.kt");
+        }
+
         @TestMetadata("inlineReturnsNothing1.kt")
         public void testInlineReturnsNothing1() throws Exception {
             runTest("compiler/testData/codegen/bytecodeText/inline/inlineReturnsNothing1.kt");