While the newspaper archives from that time period are all subscription... I managed to find a little info(tothe left).
The Monthly Weather Review is part of the American Meteorological Society (AMS). An archive of their data can be found here. The information I found is located in Volume 70, Issue 7, Page 165, in the year 1942.
The background in the article...
It seems that a cold front was moving through the region but stalled out overnight. Storms continued firing along the front, possibly training.
Bayfield: 8.68" Ashland: 3.01" Vilas Co: 4.84" to 8.06" Florence Co: 5.06"
The large hill two miles NW of the town has a maximum elevation of 1345 feet amsl. That is about 743 feet above Lake Superior.
Adjusted for Inflation
$500,000.00in 1942 equals about 6.6 billion dollars ($6,614,825.58)in 2006. A simple inflation calculator is here.