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Brooks Company carries three inventory items. The following information pertains to the ending inventory. Item Quantity Unit Cost Unit Market Value A 210 $11 $10
Brooks Company carries three inventory items. The following information pertains to the ending inventory.
| Item | Quantity | Unit Cost | Unit Market Value |
|---|---|---|---|
| A | 210 | $11 | $10 |
| F | 255 | 17 | 16 |
| K | 170 | 4 | 7 |
Required
- Determine the ending inventory that Brooks will report on the balance sheet, assuming that it applies the lower-of-cost-or-market rule to individual inventory items.
- Prepare the necessary journal entry, assuming the decline in value was immaterial.
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Auditing Principles
Authors: Nformi Eugene Tawe
1st Edition
3330651032, 978-3330651036
