Question
Sheridan Company sells coffee beans, which are sensitive to price fluctuations. The following inventory information is available for this product at December 31, 2022. Coffee
Sheridan Company sells coffee beans, which are sensitive to price fluctuations. The following inventory information is available for this product at December 31, 2022.
| Coffee Bean | Units | Unit Cost | Net Realizable Value | |||
|---|---|---|---|---|---|---|
| Coffee arabica | 12,000 bags | $5.30 | $5.27 | |||
| Coffee robusta | 4,900 bags | 3.30 | 3.40 |
Calculate Sheridans inventory by applying the lower-of-cost-or-net realizable value basis.
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Managerial Accounting
Authors: Karen Braun, Linda S Bamber
2nd Edition
136091164, 978-0136091165
