Question
A tire manufacturer has $8,000,000 of inventory recorded at historical cost. After applying lower of cost and net realizable value (LCNRV), the company will have
A tire manufacturer has $8,000,000 of inventory recorded at historical cost. After applying lower of cost and net realizable value (LCNRV), the company will have an inventory write-down of $410,000. The company uses the loss method of reporting this adjustment. Which entry will the company make to account for the decrease in inventory value?
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Accounting Understanding And Practice
Authors: Robert Perks
4th Edition
0077139135, 978-0077139131
