6 Coats Ltd. sells two types of lab coats with the year-end inventory data on the number of units, unit cost and unit net realizable value (NRV) as follows: Description Units Unit Cost Unit NRV Full length coats 10 $10 $2 Half length coats 20 $7 $20 ut of Fir Due to a change in the fashion trend, full length coats are no longer in demand. Required: 1. Compute the total value of the inventory using the lower of cost and net realizable value. (3 marks) 2. Provide an adjusting journal entry to write down the inventory to the lower of cost and net realizable value if the ending inventory is at $240 (cost) in the general ledger. (2 marks) Tim 2 A- B 1 % $ Required 1 - Compute the lower of cost and net realizable value (NRV) value of the inventory Description Units Unit Cost Unit Lower of Total Unit NRV Cost and Inventory NRV Value 10 $10 Full length coats Half length coats $2 20 S7 $20 Total Required 2. Prepare an adjusting entry to write down the inventory value in the general ledger Account Debit Credit S Green Grass Ltd.'s (GGL) accounting system provided the following data for the last two years: 2020 2019 Revenues $ 43,000 $ 32.000 Cost of goods sold $ 21,000 $ 17,000 Operating expenses $ 7,000 $ 8,000 Net Income $ 15.000 $ 7,000 W There were 7,000 common shares outstanding throughout 2019 and 1,000 common shares were issued 6 months before the 2020 year- end. GGL has no preferred shares outstanding. GGL declared and paid of common share dividends of $1.25 per share in 2020. Required 1. Using the formula below, calculate the GGL's Basic Earning per Share for the two years and evaluate GGL's earning performance in 2020 relative to 2019 Net Income-Preferred Dividends Weighted Average Number of Common Shares Outstanding 7 B IS E Green Grass Ltd.'s (GGL) accounting system provided the following data for the last two years: 2020 2019 Revenues $ 43,000 $ 32,000 Cost of goods sold $ 21,000 $ 17.000 Operating expenses $ 7,000 $ 8,000 Net Income $ 15,000 $ 7,000 Required 1. Using the formula below, calculate the GGL's gross margin ratio for the two years and evaluate GGL's performance in 2020 relative to 2019 Gross Margin Sales Revenue 1 B. 1 %