In some instances, accounting principles require a departure from valuing inventories at cost alone. Determine the proper
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In some instances, accounting principles require a departure from valuing inventories at cost alone. Determine the proper unit inventory price in the following cases, under the lower-of-cost-or-market rule. (Round answers to 2 decimal places, e.g. 52.75.)
| | Cases | | ||||||||
| | 1 | | 2 | | 3 | | 4 | | 5 | |
Cost | | $17.90 | | $18.20 | | $15.20 | | $15.30 | | $14.90 | |
Net realizable value | | 14.40 | | 17.00 | | 16.00 | | 11.10 | | 15.60 | |
Net realizable value less normal profit | | 12.70 | | 15.20 | | 14.45 | | 9.50 | | 14.20 | |
Market (replacement cost) | | 16.70 | | 19.40 | | 14.30 | | 10.40 | | 16.50 |
Related Book For
Intermediate Accounting
ISBN: 978-1118147290
15th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield
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