Culver Specialty Company, a division of Lost World Inc., manufactures three models of gear shift components for bicycles that are sold to bicycle manufacturers, retailers, and catalog outlets. Since beginning operations in 1993, Culver has used normal absorption costing and has assumed a first-in, first-out cost flow in its perpetual inventory system. The balances of the inventory accounts at the end of Culvers fiscal year, November 30, 2017, are shown below. The inventories are stated at cost before any year-end adjustments.

Finished goods $ 657,300 Work in process 121,000 Raw materials 264,300 Factory supplies 64,600

The following information relates to Culvers inventory and operations. 1. The finished goods inventory consists of the items analyzed below.

Cost

NRV

Down tube shifter

Standard model $ 63,100$ 62,500 Click adjustment model 95,600 90,700 Deluxe model114,600 116,800 Total down tube shifters 273,300 270,000

Bar end shifter

Standard model 85,800 93,400 Click adjustment model 93,200 91,900 Total bar end shifters 179,000 185,300

Head tube shifter Standard model 83,700 83,300 Click adjustment model 121,300 123,900 Total head tube shifters205,000 207,200

Total finished goods $ 657,300$ 662,500

2.		One-half of the head tube shifter finished goods inventory is held by catalog outlets on consignment.
3.		Three-quarters of the bar end shifter finished goods inventory has been pledged as collateral for a bank loan.
4.		One-half of the raw materials balance represents derailleurs acquired at a contracted price 20% above the current market price. The NRV of the rest of the raw materials is $ 130,800.
5.		The total NRV of the work in process inventory is $ 113,500.
6.		Included in the cost of factory supplies are obsolete items with an historical cost of $ 4,100. The market value of the remaining factory supplies is $ 61,500.
7.		Culver applies the LCNRV method to each of the three types of shifters in finished goods inventory. For each of the other three inventory accounts, Culver applies the LCNRV method to the total of each inventory account.
8.		Consider all amounts presented above to be material in relation to Culvers financial statements taken as a whole. Prepare the inventory section of Culvers balance sheet as of November 30, 2018.