Client Case 5 (Inventory Valuation) USE ASC CODIFICATION- COMPLETE REFERENCES (EX: ASC 405-10-05-2) Vermont Equipment Company sells equipment to the agricultural industry. They have been profitable and decided to expand into the construction industry. One of their new lines was purchased from a new equipment manufacturer, AG Equipment. At first, sales went well. After a negative news story appeared about AG Equipment, sales of their products declined. Brian Scott, the CFO of Vermont Equipment Company, has asked for help in preparing year-end adjustments for the inventory. There were 4 items of equipment with an original cost of $100,000 each. The sticker price was $200,000, but a typical sales discount was expected to be 20% yielding an expected sales price of $160,000. She has searched the internet and found similar equipment offered for $80,000 which she believes establishes market value. However, her sales manager said the best hope for selling the equipment was to a Mexico company for $50,000 each which would require an estimated $5,000 in freight costs. a Brian asks for your help in determining the appropriate method for valuing the inventory for the fiscal year ending 12/31/2019. Client Case 5 (Inventory Valuation) USE ASC CODIFICATION- COMPLETE REFERENCES (EX: ASC 405-10-05-2) Vermont Equipment Company sells equipment to the agricultural industry. They have been profitable and decided to expand into the construction industry. One of their new lines was purchased from a new equipment manufacturer, AG Equipment. At first, sales went well. After a negative news story appeared about AG Equipment, sales of their products declined. Brian Scott, the CFO of Vermont Equipment Company, has asked for help in preparing year-end adjustments for the inventory. There were 4 items of equipment with an original cost of $100,000 each. The sticker price was $200,000, but a typical sales discount was expected to be 20% yielding an expected sales price of $160,000. She has searched the internet and found similar equipment offered for $80,000 which she believes establishes market value. However, her sales manager said the best hope for selling the equipment was to a Mexico company for $50,000 each which would require an estimated $5,000 in freight costs. a Brian asks for your help in determining the appropriate method for valuing the inventory for the fiscal year ending 12/31/2019