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The inventory of Royal Decking consisted of five products. Information about ending inventory is as follows: Product Per Unit Cost Replacement Cost Selling Price A
The inventory of Royal Decking consisted of five products. Information about ending inventory is as follows:
Product | Per Unit | |||||
---|---|---|---|---|---|---|
Cost | Replacement Cost | Selling Price | ||||
A | $ 57 | $ 52 | $ 77 | |||
B | 97 | 87 | 117 | |||
C | 57 | 72 | 97 | |||
D | 117 | 87 | 147 | |||
E | 37 | 45 | 47 |
Selling costs consist of a sales commission equal to 15% of selling price and shipping costs equal to 5% of cost. The normal profit is 40% of selling price.
Required:
What unit value should Royal Decking use for each of its products when applying the lower of cost or market (LCM) rule to units of ending inventory?
Note: Do not round intermediate calculations. Round final answers to 2 decimal places
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