Cellitol maintains inventory of a few high-demand electronic components. Data for the end of 2023 are in the spreadsheet. They use a LIFO cost-flow assumption.

A. Use the data to calculate Cellitol's ending inventory valuation on a lower of cost or market basis. Use formulas in the spreadsheet for your calculations.

B. Prepare the journal entry to adjust the inventory value as of year end.

 

Item 1 2 3 4 LO 5 Units 12,358 57,147 80,833 52,800 27,858 Cost 100.64 57.43 42.28 166.54 38.31 Replacement Cost 122.00 69.00 51.00 142.96 39.00 Net Realizable Value 122.00 69.00 51.00 160.00 39.00 F G H 35% Normal markup