10) 10) Madison Co. has determined its year-end inventory on a LIFO basis to be $600,000. Information pertaining to that inventory is as follows: Selling price Costs to sell Normal profit margin Replacement cost $ 720,000 30,000 80,000 620,000 What should be the reported value of Madison's inventory? A) $610,000. B) $690,000 C) $620,000. D) $600,000. 11) - 11) Data related to the inventories of Kimzey Medical Supply are presented below: Surgical Equipment $ 260 170 240 30 30 % Surgical Supplies $ 120 90 80 Rehab Equipment $ 340 250 235 25 30 % Rehab Supplies $ 165 162 Selling price Cost Replacement cost Costs to sell Normal gross profit ratio 158 s 10 20 % 30 % In applying the lower of cost or market rule, the inventory of surgical equipment would be valued at: A) $170. B) S152 C) $230. D) $240. 12) Data related to the inventories of Kimzey Medical Supply are presented below: Selling price Cost Replacement cost Costs to sell Normal gross profit ratio Surgical Equipment $ 260 170 240 30 30 % Surgical Supplies $ 120 90 80 5 30 % Rehab Equipment $ 340 250 235 25 30 % Rehab Supplies $ 165 162 158 10 20% In applying the lower of cost or market rule, the inventory of surgical supplies would be valued at A) $100 B) 580. C) 890 D) $75. 13) Data related to the inventories of Kimzey Medical Supply are presented below: Selling price Cost Replacement cost Costs to sell Normal gross profit ratio Surgical Equipment $ 260 170 240 30 30 % Surgical Supplies $ 120 90 80 5 30 % Rehab Equipment $ 340 250 235 25 30% Supplies $ 165 162 158 10 20 % In applying the lower of cost or market rule, the inventory of rehab equipment would be valued at: A) $247 B) $235. C) $315. D) $150. 14) Data related to the inventories of Kimzey Medical Supply are presented below: Surgical Equipment $ 260 170 240 Surgical Supplies $ 120 Selling price Cost Replacement cost Costs to sell Normal gross profit ratio Rehab Equipment $ 340 250 235 25 30 % Rehab Supplies $ 165 162 158 10 20% 30 80 5 30 % 30 % In applying the lower of cost or market rule, the inventory of rehab supplies would be valued at: A) S162 B) $155. C) $158. D) $122 15) 15) On July 8, a fire destroyed the entire merchandise inventory on hand of Larrenaga Wholesale Corporation. The following information is available: Sales, January 1 through July 8 Inventory, January 1 Purchases, January 1 through July 8 Gross profit ratio $ 700,000 130,000 640,000 30 % What is the estimated inventory on July 8 immediately prior to the fire? A) S510,000 B) $280,000. C) 5192,000. D) $490,000