Given the acquisition cost of product Dominoe is $31, the net realizable value for product Dominoe is $28, the normal profit for product Dominoe is $2, and the market value (replacement cost) for product Dominoe is $29, what is the proper per unit inventory price for product Dominoe applying LCM?

 

Concord Corporation purchased a new machine on May 1, 2009 for $559200. At the time of acquisition, the machine was estimated to have a useful life of ten years and an estimated salvage value of $26400. The company has recorded monthly depreciation using the straight-line method. On March 1, 2018, the machine was sold for $71400. What should be the loss recognized from the sale of the machine?

 

A machine cost $1197000, has annual depreciation of $197000, and has accumulated depreciation of $960000 on December 31, 2017. On April 1, 2018, when the machine has a fair value of $272000, it is exchanged for a machine with a fair value of $1345000 and the proper amount of cash is paid. The exchange had commercial substance.

 

Sheridan Company purchased the assets of Pharoah Company at an auction for $5380000. An independent appraisal of the fair value of the assets is listed below:

Land$1860000Building2850000Equipment2020000Trucks3230000

Assuming that specific identification costs are impracticable and that Sheridan allocates the purchase price on the basis of the relative fair values, what amount would be allocated to the Trucks?