Question
What is a good response or question to the following post made by a classmate? Determine the proper total inventory value for each of the
What is a good response or question to the following post made by a classmate?
Determine the proper total inventory value for each of the following items in Viking Company's ending inventory:
a. Viking has 500 video games in stock. The games cost $36 each, but their year-end net realizable value is $28.
Cost per game: $36; Net realizable value: $28; Proper total inventory value = 500 x $28 = $14,000
b. Viking has 400 rolls of photographic film that are past the expiration date marked on the film's box. The films cost $1.65 each and are normally sold for $3.30. To clear out these old films, Viking will drop their selling price to $1.30. There are no related selling costs.
Proper total inventory value = 400 * $1.30 = $520
c. Viking has seven cameras in stock that have been used as demonstration models. The cameras cost $380 and normally sell for $480. Because these cameras are in used condition, Viking has set the selling price at $360 each. Expected selling costs are $15 per camera.
Proper total inventory value = Video Games: $14,000; Photographic Film: $520; Cameras: $2,415
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