Question
Monty Corporation sells coffee beans, which are sensitive to price fluctuations. The following inventory information is available for this product at December 31, 2021: Coffee
Monty Corporation sells coffee beans, which are sensitive to price fluctuations. The following inventory information is available for this product at December 31, 2021:
Coffee Bean | Units | Unit Cost | Net Realizable Value | ||||||
Coffea arabica | 11,800 bags | $5.60 | $5.55 | ||||||
Coffea robusta | 6,300 bags | 3.40 | 3.50 |
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Calculate Montys inventory at the lower of cost and net realizable value.
Inventory at the lower of cost and net realizable value | $Type your answer here |
List of Accounts
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Prepare any journal entry required to record the LCNRV, assuming that Monty uses a perpetual inventory system. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Date | Account Titles and Explanation | Debit | Credit |
Dec. 31 | |||
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