On the basis of the data shown below:

Item	Inventory Quantity	Cost per Unit	Market Value per Unit (Net Realizable Value)
Raven 10	1,200	$115	$112
Dove 23	6,500	17	22

Determine the value of the inventory at the lower of cost or market. (Note: Apply lower of cost or market to each inventory item, as shown in Exhibit 9.)
Exhibit 9

 

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EXHIBIT 9 A E G Market Value Determining Inventory at Lower Inventory Cost per Unit $10.25 per Unit (Net Realizable Value) $ 9.50 Total Item 4 Echo 5 Foxtrot 6 Sierra 7 Tango 8 Total 3 Quantity Cost $ 4, 100 $ 3,800 2,892 Market LCM of Cost or Market 400 $ 3,800 (LCM) 120 22.50 24.10 2,700 2,700 8.00 4,800 4,650 4,650 3,920 $15,070 600 7.75 3,920 4, 130 $15,520 $15,472 280 14.00 14.75 9 EXHIBIT 9 A E G Market Value Determining Inventory at Lower Inventory Cost per Unit $10.25 per Unit (Net Realizable Value) $ 9.50 Total Item 4 Echo 5 Foxtrot 6 Sierra 7 Tango 8 Total 3 Quantity Cost $ 4, 100 $ 3,800 2,892 Market LCM of Cost or Market 400 $ 3,800 (LCM) 120 22.50 24.10 2,700 2,700 8.00 4,800 4,650 4,650 3,920 $15,070 600 7.75 3,920 4, 130 $15,520 $15,472 280 14.00 14.75 9