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Answers that receive full credit should be: well organized, done on excel E2 Loft Co. reviewed its LIFO inventory values for proper pricing at year-end.
| Answers that receive full credit should be: | ||||||
| well organized, done on excel | ||||||
| E2 | |||||||||||||||
| Loft Co. reviewed its LIFO inventory values for proper pricing at year-end. The following summarizes two inventory items examined for the lower of cost or market: | |||||||||||||||
| Inventory #1 | Inventory #2 | ||||||||||||||
| Original cost | 210,000 | 400,000 | |||||||||||||
| Replacement cost | 150,000 | 370,000 | |||||||||||||
| Net realizable value | 240,000 | 410,000 | |||||||||||||
| Net realizable value less profit margin | 208,000 | 405,000 | |||||||||||||
| What amount should Loft include in inventory at year-end, if it uses the total of the inventory to apply the lower of cost or market? | |||||||||||||||
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Introduction To Accounting And Finance
Authors: Geoff Black
2nd Edition
0273711628, 978-0273711629
