#4 Lower of Cost or Market

Weldon Animal Feeds has developed the following data to calculate LIFO lower of cost or market for its products. The individual products are listed individually among their categories of feed (in thousands):

Selling

Cost to

Price

Cost

Replace

Large animals:

Cattle

$320

$160

$170

Horse

400

400

325

Small animals:

Cat

$360

$320

$280

Dog

120

90

40

Exotic pets:

Ferret

$140

$112

$98

Iguana

70

48

21

The disposal costs are 20% of the selling price and the normal profit margin on all feed is 25% of the selling price.

Required: Determine the reported inventory value assuming the LIFO lower of cost or market rule is applied to categories of feed products.