5. Data related to the inventories of Costco Medical Supply are presented below:

	Surgical				Surgical				Rehab				Rehab
	Equipment				Supplies				Equipment				Supplies
Selling price	$	260			$	100			$	340			$	165
Cost		170				90				250				162
Costs to sell		30				15				25				10

In applying the lower of cost or net realizable value rule, the inventory of surgical equipment would be valued at:

a. $230

b.$240

c. $170

d. $152

6. Data related to the inventories of Costco Medical Supply are presented below:

	Surgical Equipment				Surgical Supplies				Rehab Equipment				Rehab Supplies
Selling price	$	268			$	126			$	335			$	150
Cost		165				100				285				147
Costs to sell		11				11				33				10

In applying the lower of cost or net realizable value rule, the inventory of rehab equipment would be valued at:

a. $285

b. $270

c. $302

d. $225

7. Data related to the inventories of Alpine Ski Equipment and Supplies is presented below:

	Skis				Boots				Apparel				Supplies
Selling price	$	177,000			$	161,000			$	113,000			$	64,000
Cost		137,000				137,000				73,450				44,800
Replacement cost		135,000				112,000				93,450				40,800
Sales commission		10	%			10	%			10	%			10	%

In applying the lower of cost or net realizable value rule, the inventory of skis would be valued at:

a. $115,050

b. $137,000

c. 159,300

d. $135,000

8. Data related to the inventories of Alpine Ski Equipment and Supplies is presented below:

	Skis				Boots				Apparel				Supplies
Selling price	$	180,000			$	140,000			$	120,000			$	60,000
Cost		128,000				133,000				90,000				45,000
Replacement cost		120,000				130,000				110,000				41,000
Sales commission		10	%			10	%			10	%			10	%

In applying the lower of cost or net realizable value rule, the inventory of boots would be valued at:

a. $140,000

b. $133,000

c. $126,000

d. $130,000

9. Data below for the year ended December 31, 2018, relates to Houdini Inc. Houdini started business January 1, 2018, and uses the LIFO retail method to estimate ending inventory.

	Cost			Retail
Beginning inventory	$	80,000		$	117,000
Net purchases		377,890			550,000
Net markups					33,000
Net markdowns					53,000
Net sales					492,000

Estimated ending inventory at retail is:

a. $155,000

b. $38,000

c. $91,000

d. $204,910

10. Willie Nelson's Boots uses the conventional retail method to estimate ending inventory. Cost data for the most recent quarter is shown below:

	Cost			Retail
Beginning inventory	$	49,000		$	66,000
Net purchases		157,000			221,000
Net markups					25,000
Net markdowns					38,000
Net sales					223,000

The conventional cost-to-retail percentage (rounded) is:

a. 83.1%

b. 66.0%

c. 71.8%

d. 75.2%