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(AP-6A RO3 A company has three types of products: gadgets, widgets and aizmos. The cost and market price of each type is listed below. Complete

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(AP-6A RO3 A company has three types of products: gadgets, widgets and aizmos. The cost and market price of each type is listed below. Complete the table by applying the lower of cost and net realizable value. The shaded areas do not require any entries. LCNRV Applied to Description Category Cost NRV Individual Category Total Gadget Type 1 Gadgets $1,000 $900 Gadget Type 2 Gadgets 5,000 5,200 Total Gadgets Widgets Widgets 100 20 100 200 Widget A Widget B Total Widgets Gizmo 1 Gizmo 2 Total Gizmos Total Gizmos Gizmos 1,500 1,750 1,450 2,000 341 (AP-6A RO3 A company has three types of products: gadgets, widgets and aizmos. The cost and market price of each type is listed below. Complete the table by applying the lower of cost and net realizable value. The shaded areas do not require any entries. LCNRV Applied to Description Category Cost NRV Individual Category Total Gadget Type 1 Gadgets $1,000 $900 Gadget Type 2 Gadgets 5,000 5,200 Total Gadgets Widgets Widgets 100 20 100 200 Widget A Widget B Total Widgets Gizmo 1 Gizmo 2 Total Gizmos Total Gizmos Gizmos 1,500 1,750 1,450 2,000 341 AP-7A 103 Garden company uses the perpetual inventory system and its inventory consists of four products as at December 31, 2018. Selected information is provided below. Required a) Calculate the inventory value that should be reported on December 31, 2018, using the lower of cost and net realizable value applied on an individual-item basis. Product Number of Units Cost (per unit) LCNRV (individual) Net Realizable Value (per unit) $120 $60 15 20 40 $80 $80 $60 $120 $50 4 $180 Inventory Value: b) Using the results from a), prepare the journal entry to adjust merchandise inventory to LCNRV (at individual-item level). Date Account Title and Explanation Debit Credit

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