Lower-of-Cost-or-Market

Illustration: Remmers Company manufactures desks. The company attempts to obtain a 20% gross margin on selling price. At December 31 , 2014 , the following finished desks appear in the company's inventory. The 2014 catalog was in effect through November 2014, and the 2015 catalog is effective as of December 1,2015. Instructions: At what amount should each of the four desks appear in the company's December 31, 2015, inventory, assuming that the company has adopted a lower-of-FIFO-cost-or-market approach for valuation of inventories on an individual-item basis? Lower-of-Cost-or-Market Lower-of-Cost-or-Market Lower-of-Cost-or-Market Lower-of-Cost-or-Market Illustration: Remmers Company manufactures desks. The company attempts to obtain a 20% gross margin on selling price. At December 31 , 2014 , the following finished desks appear in the company's inventory. The 2014 catalog was in effect through November 2014, and the 2015 catalog is effective as of December 1,2015. Instructions: At what amount should each of the four desks appear in the company's December 31, 2015, inventory, assuming that the company has adopted a lower-of-FIFO-cost-or-market approach for valuation of inventories on an individual-item basis? Lower-of-Cost-or-Market Lower-of-Cost-or-Market Lower-of-Cost-or-Market Lower-of-Cost-or-Market