Lower of Cost or Market

Palmquist Company has five different inventory items that it values by the lower of cost or market rule applied on an individual item basis. The normal markup on all items is 20% of cost. The following information is obtained from the companys records:

Item	Units	Cost	Replacement Cost	Net Realizable Value
1	500	$10.00	$ 9.10	$ 9.20
2	400	8.00	8.10	7.80
3	300	15.00	13.50	14.00
4	200	18.00	12.00	17.00
5	100	25.00	25.50	25.30

Required:

Assume that Palmquist uses the FIFO inventory valuation method. Compute the correct inventory value under the lower of cost or market rule. Round your answers to the nearest cent.

Item		Lower of Cost or Market
1		$
2
3
4
5

Assume that Palmquist uses the LIFO inventory method. Compute the correct inventory value under the lower of cost or market rule. Round your answers to the nearest cent.

Item		Lower of Cost or Market
1		$
2
3
4
5

Assume that Palmquist uses IFRS. Compute the correct inventory value under the lower of cost or market rule. Round your answers to the nearest cent.

Item		Lower of Cost or Market
1		$
2
3
4
5