Determining Lower of Cost or Net Realizable Value (NRV)

Crane Company had the following inventory at December 31, 2017.

Unit Price

QuantityCostNRV

Desks

Model 900174$190$210

Model 900249280268

Model 900324350360

Cabinets

Model 70011246064

Model 7002849588

Model 700354130126

a. Determine the ending inventory amount by applying the net realizable value rule to: 1. Each item of inventory. $Answer

2. Each major category of inventory. $Answer 3. Total inventory. $Answer