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Brief Exercise 9-4 Presented below is information related to Carla Inc.'s inventory, assuming Carla uses lower-of-LIFO cost-or-market. (per unit) Skis Boots Parkas Historical cost $231.80
Brief Exercise 9-4 Presented below is information related to Carla Inc.'s inventory, assuming Carla uses lower-of-LIFO cost-or-market. (per unit) Skis Boots Parkas Historical cost $231.80 $129.32 $64.66 Selling price 258.64 176.90 89.98 Cost to distribute 23.18 9.76 3.05 247.66 128.10 62.22 Current replacement cost Normal profit margin 39.04 35.38 25.93 Determine the following: (a) The two limits to market value (i.e., the ceiling and the floor) that should be used in the lower-of-cost-or-market computation for skis. Ceiling Limit Floor Limit (b) The cost amount that should be used in the lower-of-cost-or-market comparison of boots. The cost amount (c) The market amount that should be used to value parkas on the basis of the lower-of-cost-or-market. The market amount
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